factual

When is the initial franchise fee due to Cinnabon?

Cinnabon Franchise · 2025 FDD

Answer from 2025 FDD Document

| Type of Expenditure | Amount of E | Expenditure | Method of | When Payments Are | To Whom Payment Will | |--------------------------------------------------|-------------|-------------|-------------|-----------------------------------------|-------------------------| | | Low | High | Payment | Due | Be Made | | Initial Franchise Fee 1 | $61,000 | $61,000 | Lump sum | At signing of Franchise Agreement | Us | | Type of Expenditure | | Amount of Expenditure | Method of Payment | When Payments Are Due | To Whom Payment Will Be Made | |---|---|---|---|---|---| | | Low | High | | | | | Initial Franchise Fee1 | $30,500 | $30,500 | Lump sum | At signing of Franchise Agreement | Us | | Type of Expenditure | Amount of Expenditure | | Method of Payment | When | To Whom Payment Will Be Made | |---|---|---|---|---|---| | | Low | High | | Payments Are Due | | | Initial Franchise Fee1 | $5,500 | $5,500 | Lump sum | At signing of Franchise Agreement | Us | For Co-Branded Bakeries, the Initial Franchise Fee estimate includes both the Initial Franchise Fee paid to us ($30,500) and the initial franchise fee paid, as applicable, to Auntie Anne's under the Auntie Anne's® Franchise Agreement for the right to operate an Auntie Anne's® franchise ($35,500) or to Carvel under the Carvel® Franchise Agreement for the right to operate a Carvel® franchise ($30,500).

Source: Item 7 — Estimated Initial Investment (FDD pages 45–59)

What This Means (2025 FDD)

According to Cinnabon's 2025 Franchise Disclosure Document, the initial franchise fee is due at the signing of the Franchise Agreement. The amount of this fee varies depending on the type of Cinnabon franchise. For a standard Cinnabon bakery, the initial franchise fee ranges from $5,500 to $61,000.

For Co-Branded Bakeries, the initial franchise fee includes both the fee paid to Cinnabon ($30,500) and a fee paid to either Auntie Anne's ($35,500) or Carvel ($30,500), depending on the co-branding agreement. This means a franchisee opening a co-branded location can expect to pay a higher initial franchise fee compared to a single-brand Cinnabon location.

It is important to note that these fees are generally non-refundable, so prospective franchisees should carefully consider their decision before signing the Franchise Agreement and remitting payment. This up-front payment is a standard practice in franchising, providing Cinnabon with capital to cover initial support and training.

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.