What is the role of 'Developer' in the Cinch I.T. amendment?
Cinch_I_T Franchise · 2024 FDDAnswer from 2024 FDD Document
| The CINCH I.T. Multi-Unit Development | Agreement between |
|---|---|
| ("Developer") and CINCH FRANCHISE, LLC, a Massachusetts limited liability company | |
| ("Franchisor"), dated | (the "Development Agreement") shall be amended by the addition of the following language, which shall be considered an integral part of this |
| Agreement (this "Amendment"): |
Source: Item 23 — RECEIPTS (FDD pages 60–269)
What This Means (2024 FDD)
According to the 2024 Cinch I.T. Franchise Disclosure Document, the "Developer" refers to the multi-unit developer who enters into an agreement with Cinch I.T. to develop multiple franchise locations. The Development Agreement outlines the terms and conditions under which the Developer will establish and operate these franchised businesses within a specific Development Area. The agreement is between the Developer and CINCH FRANCHISE, LLC.
The Developer's responsibilities include adhering to a Development Schedule, as detailed in Addendum B, which specifies the number of Cinch I.T. Franchised Businesses to be established and operational within defined Development Periods. The Developer must also ensure that each Cinch I.T. Franchised Business has a Designated Manager who is fully trained and dedicated to managing and developing the business.
The Development Agreement is not a franchise agreement itself, but rather a grant of the right and license to develop a certain number of Cinch I.T. Franchised Businesses. Each individual Cinch I.T. Franchised Business operated by the Developer will be governed by a separate Franchise Agreement. The Developer is also responsible for providing updated information regarding equity ownership in the Multi-Unit Developer entity.