factual

What actions can Cinnabon take during an inspection of a Cinnabon Franchised Business?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

We or any of our authorized agents may at any time during normal business hours (including pre-opening and post-closing) enter the Franchised Business or any other place where business related to the Franchised Business is conducted and: (i) conduct an operational audit to determine your material compliance, as we determine, with this Agreement; (ii) examine, analyze, and inspect the Franchised Business, the Proprietary Goods, the Approved Products, and any products produced and/or sold or distributed at, from, or through the Franchised Business (whether authorized or unauthorized); (iii) take reasonable samples of any the Proprietary Goods, the Approved Products, and any products produced and/or sold or distributed at, from, or through the Franchised Business (whether authorized or unauthorized), without charge or liability; (iv) videotape, photograph, or otherwise record the operation of the Franchised Business; (v) interview your employees, customers, landlords, and suppliers; and (vi) audit, review and examine by any means, including electronically through the use of telecommunications devices or otherwise, at our expense, your books, records, accounts, and tax returns related to the Franchised Business.

We may require you to send us copies of your books, records, and files related to the Franchised Business, which you must provide to us or our representatives within a reasonable time (not to exceed 10 days) of our request.

We also may require you to participate in customer satisfaction surveys or other audit programs, including electronically through the use of telecommunications devices or otherwise, to assess your compliance with our customer service standards.

You will provide us with full cooperation in the course of any inspection or audit we conduct under this Section.

Source: Item 23 — Receipts (FDD pages 114–399)

What This Means (2025 FDD)

According to the 2025 Cinnabon Franchise Disclosure Document, Cinnabon or its authorized agents have the right to access a franchised business during normal business hours, including before opening and after closing. During these inspections, Cinnabon can conduct operational audits to check for material compliance with the franchise agreement.

During an inspection, Cinnabon can examine and inspect the franchised business, proprietary goods, approved products, and any other products sold or distributed through the business, whether authorized or not. Cinnabon can also take reasonable samples of these items without charge or liability. Furthermore, Cinnabon has the right to videotape, photograph, or otherwise record the operation of the franchised business, and interview employees, customers, landlords, and suppliers.

Additionally, Cinnabon can audit, review, and examine the franchisee's books, records, accounts, and tax returns related to the franchised business, using electronic means or telecommunications devices at their own expense. Cinnabon may also require franchisees to send copies of these records within ten days of a request and participate in customer satisfaction surveys or other audit programs to assess compliance with customer service standards. Franchisees are required to fully cooperate during any inspection or audit.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.