What fee is waived for Cicis franchisees approved for the Veteran's Incentive Program?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
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- Waiver of Initial Franchise Fee. We hereby waive your obligation to pay us an Initial Franchise Fee while you are approved to participate in the Program and remain in good standing. We reserve the right to revoke the waiver at any time you are either no longer approved to participate in the Program or cease to be in good standing, in which case, you will pay us the Initial Franchise Fee which, absent the waiver, is required under the Franchise Agreement. "Good Standing" means that you are in compliance with all material obligations under the Franchise Agreement, and you and your affiliates are in compliance with all material obligations under any other agreements between us and you or them. You agree that we will have sole discretion to determine whether particular obligations are "material" for purposes of determining good standing, and our decision will be final.
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, franchisees approved for the Veteran's Incentive Program may have their initial franchise fee waived. Specifically, if a franchisee is approved to participate in the Veteran's Incentive Program and remains in good standing, Cicis will waive the initial franchise fee. However, Cicis retains the right to revoke this waiver if the franchisee is no longer approved for the program or ceases to be in good standing. If the waiver is revoked, the franchisee will be required to pay the initial franchise fee as outlined in the Franchise Agreement.
For franchisees entering into an Area Development Agreement with Cicis, the Veteran's Incentive Program also includes a waiver of the Development Fee. This means that eligible veterans who commit to developing multiple Cicis locations may not have to pay the standard Development Fee, in addition to the waiver of the Initial Franchise Fee for each location. However, similar to the single-unit franchise agreement, Cicis can revoke these waivers if the franchisee's approval in the program is rescinded or if they fall out of good standing.
It is important to note that "Good Standing" is defined by Cicis, who has sole discretion in determining whether a franchisee meets the criteria. This determination is final, meaning a franchisee must ensure they comply with all material obligations under both the Development Agreement and any Franchise Agreements to maintain their good standing and continue receiving the fee waivers. Prospective franchisees should carefully review the requirements for maintaining good standing and the circumstances under which Cicis may revoke the waivers to fully understand the potential financial implications.