Is CiCi Services Company, LLC an affiliate of Cicis?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
executed Addendum shall have the same force and effect as an original.
[Signature page follows]
IN WITNESS WHEREOF, each of the parties hereto has caused this Addendum to be executed by its duly authorized representative on dates shown below and made effective as of the Effective Date.
[NAME OF FRANCHISEE] ON SMILE LLC, a Delaware limited liability company Date*: *Effective Date
ITEM 21 FINANCIAL STATEMENTS
Attached as Exhibit G are (i) the combined audit report for us and our affiliate, CiCi Services Company, LLC, which includes our and CiCi Services Company, LLC's combined balance sheet as of December 31, 2024 and 2023, and the related combined statements of income, changes in members' capital and cash flows for the years then ended on December 31, 2024 December 31, 2023, December 31, 2022, and (ii) the Guaranty of Performance issued by our affiliate, CiCi Services. Our and CiCi Services' fiscal year ends on December 31.
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 64)
What This Means (2025 FDD)
According to Cicis' 2025 Franchise Disclosure Document, CiCi Services Company, LLC is an affiliate of On Smile LLC, which is the franchisor for Cicis. Specifically, CiCi Services operates the gift card program for the CiCi's Pizza concept. The FDD states that the combined financial statements include the accounts of both On Smile LLC and CiCi Services Company, LLC, indicating a close financial relationship. CiCi Services is wholly owned by CiCi Enterprises, LP, which also wholly owns CiCi Acquisition Company, LLC, the parent company of On Smile LLC. This ownership structure confirms the affiliate relationship between CiCi Services and the franchisor, On Smile LLC.
CiCi Services shares a business relationship with Cicis through the gift card program. The FDD mentions that CiCi Services maintains the central account for funds attributable to activated gift cards. This indicates that CiCi Services handles the financial aspects related to gift card sales and usage, which is an integral part of the Cicis business operations. The financial statements for On Smile LLC and CiCi Services Company, LLC are combined, further demonstrating the interconnectedness of their operations.
For a prospective franchisee, understanding the relationship between Cicis and its affiliates like CiCi Services is important. It clarifies the roles and responsibilities of different entities within the Cicis franchise system. Knowing that CiCi Services manages the gift card program helps franchisees understand where to direct any queries or issues related to gift cards. Additionally, the franchisee should be aware that transactions with affiliates like CiCi Services will be part of the overall financial picture of the Cicis system, as reflected in the combined financial statements.