Under the Development Incentive Program, how many Cicis restaurants must the developer agree to develop?
Cicis Franchise · 2025 FDDAnswer from 2025 FDD Document
In the Development Agreement, you have agreed to develop or cause your affiliates to develop, in each case pursuant to individual Franchise Agreements, at least five (5) Cicis Pizza Restaurants. In light of your acquisition of the Development Rights and your agreement to remain in good standing (as defined below), we have agreed to allow you to participate in our Development Incentive Program (the "Program") with respect to the Development Agreement and Franchise Agreements that you or your affiliates execute pursuant to the Development Agreement from and after the Effective Date of this Addendum (the "Qualifying Franchise Agreements"). We may revoke your participation in the Program if, at any time, we determine that you no longer qualify to participate.
Source: Item 23 — RECEIPTS (FDD pages 65–263)
What This Means (2025 FDD)
According to Cicis's 2025 Franchise Disclosure Document, to participate in the Development Incentive Program, a developer must agree to develop at least five Cicis Pizza Restaurants under individual Franchise Agreements. This requirement is part of the Area Development Agreement.
This commitment is a prerequisite for accessing the incentives offered under the program. These incentives include potential reductions in the Development Fee and the Initial Franchise Fee. Cicis retains the right to revoke a developer's participation in the Program if they no longer meet the qualification standards.
This requirement ensures that developers are serious about expanding the Cicis brand and are committed to opening multiple locations. For a prospective franchisee, this means that to take advantage of the Development Incentive Program, they must be prepared to commit to a multi-unit development strategy. This also means securing adequate capital and resources to develop and operate at least five restaurants.
It is important to note that maintaining 'Good Standing' is crucial for continued participation in the Program. Good Standing is defined as compliance with all material obligations under the Development Agreement, Franchise Agreements, and other agreements with Cicis. Cicis has the sole discretion to determine whether obligations are 'material,' adding a layer of subjectivity to the requirements.