factual

What is Cinnabon's definition of the 'Computer System' that franchisees are required to use?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

12.8 Computer System.

  • A. Acquisition and Operation. You must promptly purchase, lease and/or license and install at the Franchised Business, at your sole expense, the computerized point-of-sale system, computer and technology systems, mobile hardware, software, applications, associated computer hardware, telephone lines, network connections, communications equipment, high speed internet access (e.g. fiber or cable), and other equipment that we require from time to time (the "Computer System"), all of which you must keep in good maintenance and repair. You must use the Computer System in accordance with our Standards. We have the right to retrieve all data from your Computer System that we deem appropriate, and we may require you to obtain, at your expense, polling services we specify from a supplier that we specify (which may be us or our affiliates). If it becomes advisable at any time, in our sole discretion, for us to change, upgrade, or discontinue use of any of the components of the Computer System, you will comply with our directions, at your expense, within a reasonable time after notice to you. We will have no liability or obligation whatsoever with respect to our requirement that you modify or discontinue use of any of the components of the Computer System or any unauthorized modifications to the Computer System that you make.
  • B. Computer Services. We or our affiliates may, in our sole discretion, provide you with, or require you to purchase from an Approved Supplier, (i) project management assistance related to, and coordinate the onboarding and configuration of, your Computer System before your Franchised Business opens or, if you are acquiring an existing Franchised Business, when you assume control of such Franchised Business; (ii) back office and polling services; (iii) required modifications and enhancements to the Computer System; and/or (iv) other maintenance and

support programs. We may require you to enter into agreements with, and pay a reasonable fee to, us, our affiliates, or Approved Suppliers for such services. The fees for such services may be increased in any calendar year by no more than the Allowed Adjustment. Any fees that we or our affiliates charge for modifications and enhancements to the Computer System and fees for thirdparty hardware or software will not exceed 110% of our or our affiliates' actual costs and expenses related to such products or services.

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

What This Means (2025 FDD)

According to Cinnabon's 2025 Franchise Disclosure Document, the Computer System is defined as the computerized point-of-sale system, computer and technology systems, mobile hardware, software, applications, associated computer hardware, telephone lines, network connections, communications equipment, and high-speed internet access that Cinnabon requires the franchisee to purchase, lease, license, and install at their own expense. The franchisee must maintain this system in good repair and use it according to Cinnabon's standards.

Cinnabon retains the right to retrieve data from the Computer System and may require franchisees to use specific polling services from approved suppliers, potentially including Cinnabon or its affiliates. If Cinnabon decides to change, upgrade, or discontinue any components of the Computer System, franchisees must comply with these changes at their own expense within a reasonable timeframe after receiving notice. Cinnabon assumes no liability for required modifications or discontinuations, or for any unauthorized changes made by the franchisee.

Cinnabon or its affiliates may offer project management assistance, coordinate the onboarding and configuration of the Computer System, and provide back-office and polling services. They may also implement required modifications and enhancements, along with other maintenance and support programs. Franchisees may be required to enter into agreements and pay reasonable fees for these services to Cinnabon, its affiliates, or approved suppliers. Fees for these services can increase annually, but fees charged by Cinnabon or its affiliates for modifications, enhancements, and third-party hardware or software will not exceed 110% of their actual costs and expenses.

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.