What are the components of the Computer System that a Cinnabon franchisee must install?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
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Pricing
We may, if permitted by applicable law, establish maximum, minimum, or other pricing requirements with respect to the prices you may charge for Approved Products, including required participation in systemwide discount programs and promotions. If we do not establish such pricing requirements, then you will have the right to determine the prices you charge.
Computer and POS Systems
You must provide financial and business records and information to us according to reporting formats, methodologies and time schedules that we establish. As part of these record keeping requirements, you must install computerized Bakery management systems meeting our Standards, as modified in response to business, operations and marketing conditions. Accordingly, you must promptly purchase, lease and/or license and install at the Bakery, at your sole expense, the POS System, computer systems, mobile hardware, software, associated computer hardware, telephone lines, network connections, communications equipment, high speed internet access (e.g. DSL or cable), credit card, gift card and loyalty card processing equipment, and other equipment that we require from time to time (collectively, the "Computer System"), all of which you must keep in good maintenance and repair. We estimate the total cost of the Computer System will be $10,500 to $32,000 for Full Bakeries, $3,000 to $16,400 for Express Bakeries (other than those in a Schlotzsky's), and $10,500 to $20,000 for Concession Bakeries, depending on the size of your Bakery, which includes installation and setup fees. For a Co-Branded Bakery, the Computer System that we require meets both our and the Co-Branded Franchisor's standards. You may incur additional expenses if you require additional equipment, training, or installation services. We may require you to purchase, license, or lease additional hardware or software.
The Computer System includes a POS System that we specify, the principal functions of which are to manage permanent financial records of sales transactions at your Bakery, cash control, inventory control, and menu and price change control, among other things. We will have independent electronic and manual access to certain information within the POS System and there are no contractual limitations on our right to access this information.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 66–82)
What This Means (2025 FDD)
According to Cinnabon's 2025 Franchise Disclosure Document, franchisees must install a Computer System that meets Cinnabon's standards, which may change based on business, operations, and marketing conditions. This Computer System includes a POS System, computer systems, mobile hardware, software, associated computer hardware, telephone lines, network connections, communications equipment, high-speed internet access (such as DSL or cable), and equipment for processing credit, gift, and loyalty cards. The cost of this system is estimated to be $10,500 to $32,000 for Full Bakeries, $3,000 to $16,400 for Express Bakeries (excluding those in a Schlotzsky's), and $10,500 to $20,000 for Concession Bakeries, including installation and setup fees. These costs can increase if additional equipment, training, or installation services are needed. For Co-Branded Bakeries, the Computer System must meet the standards of both Cinnabon and the co-branding franchisor.
The POS System's main functions include managing financial records of sales transactions, cash control, inventory control, and menu and price changes. Cinnabon will have independent electronic and manual access to information within the POS System without contractual limitations. Franchisees must assist in integrating their POS System with Cinnabon's headquarters system and accurately record all required information through the POS System in accordance with applicable laws.
Cinnabon may revise the specifications for the Computer System, including the POS System, and franchisees are contractually required to make periodic upgrades and updates to remain compliant with Cinnabon's standards. Franchisees are responsible for the costs associated with these changes. If Cinnabon requires a different POS System, franchisees must stop using the old system, purchase the new system, sign any required agreements, pay any related fees, and use the new system. Cinnabon can also require franchisees to add, substitute, or replace computer hardware, memory, ports, accessories, peripheral equipment, or software, or to replace their Computer System, without contractual limitations on the frequency or cost of these obligations.