Under what condition will Cinnabon NOT consent to a transfer if the Cinnabon Franchised Business is not open and operating?
Cinnabon Franchise · 2025 FDDAnswer from 2025 FDD Document
We have sole and absolute discretion to withhold our consent, except as otherwise provided in Sections 16.4 through 16.7.
Without limiting the foregoing, we will not consent to a Transfer, and we are under no obligation to do so, if (i) your Franchised Business is not open and operating; or (ii) the Transfer would cause a transferee or its owners to breach another agreement (whether or not with us).
Source: Item 23 — Receipts (FDD pages 114–399)
What This Means (2025 FDD)
According to Cinnabon's 2025 Franchise Disclosure Document, Cinnabon has the sole and absolute discretion to withhold consent for a transfer of ownership. Specifically, Cinnabon will not consent to a transfer if the Cinnabon franchised business is not open and operating.
This means that if a franchisee wishes to sell or transfer their Cinnabon business to someone else, but the store is not currently open and running, Cinnabon can deny the transfer. This condition protects Cinnabon by ensuring that new owners take over viable, operating locations rather than distressed or closed businesses.
For a prospective franchisee, this highlights the importance of maintaining continuous operation of the Cinnabon business. If unforeseen circumstances force a temporary closure, it could complicate or prevent a future sale. Franchisees should discuss with Cinnabon any potential issues that might lead to closure and understand the implications for a possible transfer.