factual

What is the definition of 'Streetside Locations' where Cinnabon will not establish or license another Swirl Business within the Area of Protection?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

During the Term, we will not establish or operate, nor license any other person to establish or operate, a Swirl Business at a Streetside Location within the Area of Protection. "Streetside Locations" include freestanding, inline, and endcap locations on city streets or in shopping centers (including power centers, lifestyle centers, and strip centers, but excluding malls (enclosed and open air) and outlet malls and centers).

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

What This Means (2025 FDD)

According to Cinnabon's 2025 Franchise Disclosure Document, a 'Streetside Location' is defined in the context of the Area of Protection granted to franchisees. Specifically, Cinnabon agrees not to establish or operate, nor license others to do so, a Swirl Business at a Streetside Location within the franchisee's Area of Protection during the term of the agreement.

Streetside Locations are defined as freestanding, inline, and endcap locations situated on city streets or within shopping centers. The shopping centers included in this definition are power centers, lifestyle centers, and strip centers. However, the definition explicitly excludes malls, whether enclosed or open-air, as well as outlet malls and centers. This distinction is important for prospective franchisees to understand, as it clarifies where Cinnabon will not directly compete with them by opening another Swirl Business.

This definition impacts where Cinnabon can establish other Swirl Businesses that could potentially compete with a franchisee's location. The exclusion of malls and outlet centers from the 'Streetside Locations' definition means that Cinnabon reserves the right to open or license Swirl Businesses in these types of locations, even if they fall within the Area of Protection granted to a franchisee. This is a critical consideration for franchisees when evaluating the potential for competition within their protected area.

For Auntie Anne's and Carvel co-branded bakeries, the same definition of 'Streetside Locations' applies. Cinnabon will not establish or operate, nor license any other person to establish or operate, a co-branded business at a Streetside Location within the Area of Protection. This ensures that franchisees operating co-branded locations also receive protection from direct competition from other Cinnabon-branded stores in similar street-side venues within their designated area.

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.