What is the Development Incentive Program Addendum for Cicis designed to supplement and amend?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
On Smile LLC ("we") and the "Developer" identified below ("you" and, together with us, the "Parties") execute this Development Incentive Program Addendum (the "Addendum") to supplement and amend that certain Area Development Agreement they have executed immediately prior to the execution of this Addendum (as it might have otherwise been amended, the "Development Agreement").
On Smile LLC ("we") and the "Franchisee" identified below ("you" and, together with us, the "Parties") execute this Development Incentive Program Addendum (the "Addendum") to supplement and amend that certain Franchise Agreement they have executed immediately prior to the execution of this Addendum (as it might have otherwise been amended, the "Franchise Agreement").
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, the Development Incentive Program Addendum is designed to supplement and amend either the Area Development Agreement or the Franchise Agreement. There are two versions of the addendum. One version applies to the Area Development Agreement, while the other applies to the Franchise Agreement.
The Development Incentive Program Addendum for the Area Development Agreement modifies the existing agreement between On Smile LLC (Cicis) and the developer. It outlines the terms and conditions under which the developer can participate in the Development Incentive Program, typically involving the development of at least five Cicis Pizza Restaurants. Participation in the program may be revoked if the developer no longer qualifies or is not in good standing.
The Development Incentive Program Addendum for the Franchise Agreement supplements the existing Franchise Agreement, particularly concerning the initial franchise fee. If the franchisee remains in good standing and is approved to participate in the program, the initial franchise fee may be reduced to $10,000. Cicis retains the right to revoke this reduction if the franchisee's standing changes, requiring the franchisee to pay the full initial franchise fee as originally stipulated in the Franchise Agreement.