Can a Cinch I.T. franchisee develop more franchises than required during a Development Period?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
- (b) During any Development Period, You may, with Our prior written consent, develop more than the number of CINCH I.T. Franchised Businesses that You are required to develop during that Development Period. Any CINCH I.T. Franchised Businesses developed during a Development Period in excess of the minimum number of CINCH I.T. Franchised Businesses required to be developed upon expiration of that Development Period shall be applied to satisfy Your development obligation during the next succeeding Development Period. You shall not open more than the number of CINCH I.T. Franchised Businesses You are obligated to develop under this Agreement, as set forth in the Development Schedule; provided, however, that You may be permitted to open CINCH I.T. Franchised Businesses in excess of the number permitted by the Development Schedule if You receive Our advanced written permission, which may be granted or denied in Our sole discretion. You shall pay Us the then-current Initial Franchise Fee and the then-current Initial Training Fee, reduced as applicable, at the time You sign a Franchise Agreement for any additional CINCH I.T. Franchised Businesses.
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
According to Cinch I.T.'s 2024 Franchise Disclosure Document, a franchisee can develop more franchises than required during a Development Period, but it requires prior written consent from Cinch I.T.
If a Cinch I.T. franchisee develops more franchises than required during a specific Development Period, these additional franchises can be applied to satisfy the development obligations of the next Development Period. However, the franchisee cannot open more Cinch I.T. Franchised Businesses than obligated under the Development Schedule without advanced written permission from Cinch I.T., which Cinch I.T. can grant or deny at its sole discretion.
For each additional Cinch I.T. Franchised Business, the franchisee must pay the then-current Initial Franchise Fee and the then-current Initial Training Fee, reduced as applicable, when signing the Franchise Agreement. This policy allows for flexibility and potential acceleration of development, but it is subject to Cinch I.T.'s approval and the payment of applicable fees.