factual

What agreement outlines the terms for a Cinnabon Satellite Retail Unit?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

If you will operate an SRU, you will sign the Satellite Retail Unit Addendum attached in Exhibit C of this Disclosure Document (the "SRU Addendum"), which modifies certain terms of the Franchise Agreement, and will be required to meet our insurance requirements for an SRU.

In addition, unless we agree otherwise, you must purchase or lease the SRU (which includes the POS System) from us, our affiliate, or a third party that we approve. If you lease the SRU from us or our affiliate, you must sign the Satellite Retail Unit Lease Agreement attached in Exhibit C of this Disclosure Document (the "SRU Lease Agreement").

Source: Item 22 — Contracts (FDD pages 113–114)

What This Means (2025 FDD)

According to the 2025 Cinnabon FDD, the terms for operating a Satellite Retail Unit (SRU) are outlined in two primary agreements: the Satellite Retail Unit Addendum and the Satellite Retail Unit Lease Agreement. The SRU Addendum, attached as Exhibit C to the Franchise Disclosure Document, modifies certain terms of the standard Cinnabon Franchise Agreement to accommodate the unique aspects of operating an SRU.

In addition to the addendum, if a franchisee leases the SRU from Cinnabon or its affiliate, they must also sign the Satellite Retail Unit Lease Agreement, also found in Exhibit C. This lease agreement likely covers the specific terms and conditions related to leasing the physical SRU location and equipment.

Prospective franchisees should carefully review both the SRU Addendum and the SRU Lease Agreement (if applicable) to fully understand their obligations and the franchisor's expectations for operating a Cinnabon SRU. Understanding the terms of both agreements is crucial for any franchisee considering expanding their operations with a Satellite Retail Unit.

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.