If the franchisee is not a natural person, what does Cicis require regarding the scope of activities defined in the franchisee's governing documents?

According to Cicis's 2025 Franchise Disclosure Document, if the franchisee is not a natural person, Cicis requires that the franchisee's governing documents at all times provide that its activities are confined exclusively to operating the Restaurant. However, Cicis may provide written consent to allow other activities.

This requirement ensures that the franchisee entity remains focused on the Cicis business and does not engage in unrelated activities that could potentially divert resources or create conflicts of interest. It protects Cicis by ensuring the franchisee's primary focus is on maintaining the brand's standards and operational efficiency.

For a prospective franchisee, this means that the organizational documents (such as articles of incorporation or operating agreements) must explicitly state that the entity's sole purpose is to operate the Cicis restaurant. If the franchisee wishes to engage in other business ventures through the same entity, they must obtain written permission from Cicis, which may or may not be granted. This is a fairly standard practice in franchising, as franchisors want to ensure that franchisees are dedicated to their brand and system.