Where will Cicis provide a list of approved and designated suppliers?

According to Cicis's 2025 Franchise Disclosure Document, a list of approved and designated suppliers will be provided in the Operations Manuals or otherwise in writing. This is a common practice in franchising, as franchisors like Cicis need to ensure consistency and quality across all locations.

For a prospective Cicis franchisee, this means you will be required to purchase certain goods and services from specific, pre-approved suppliers. These include food and beverage products, initial restaurant equipment, furniture, fixtures, supplies, décor, smallwares, branded merchandise, the point-of-sale system, digital menu boards, game room card readers, computer systems, technology infrastructure, vehicles for delivery, third-party delivery service providers, construction contractors, marketing materials, and insurance. This requirement ensures that all Cicis restaurants maintain a uniform standard in terms of product quality and brand representation.

Cicis, and its affiliates, may receive financial benefits such as rebates, fees, or commissions from these approved suppliers based on franchisee purchases. In 2024, Cicis received rebates amounting to $9,752,184 from designated suppliers, representing 22.92% of their total revenue of $42,546,700 for that fiscal year. Additionally, Cicis's affiliate, JMC, received $108,660,523 from sales or leases to franchisees. While these arrangements benefit Cicis, the FDD states that Cicis does not provide material benefits to franchisees based on their purchase of particular products or services or use of particular suppliers.

If a franchisee wishes to use a supplier that is not already approved, they must seek written approval from Cicis. Cicis will evaluate the supplier to ensure they meet the required standards and specifications. The franchisee or the supplier will bear the costs associated with inspections and testing. Cicis has the right to re-inspect and revoke approval if a supplier fails to maintain the required standards. This process ensures that Cicis maintains control over the quality and consistency of its brand, but it also means that franchisees have limited flexibility in choosing suppliers.