Under what conditions will Cinnabon NOT consider a prospective franchisee as 'new' for the purposes of the Franchisee/Industry Contact Lead Referral Program?

According to Cinnabon's 2025 Franchise Disclosure Document, a prospective franchisee will not be considered "new" for the purposes of the Franchisee/Industry Contact Lead Referral Program if they (or any of the individual owners, if the franchisee is an entity) have already signed a franchise agreement with any other brands within the GoTo Foods Portfolio. This means that if someone is already a franchisee of another brand under the GoTo Foods umbrella, they won't qualify as a "new" prospect for referral fee purposes, even if they are new to the Cinnabon brand itself.

The referral fee is a payment that Cinnabon may make to existing franchisees or real estate brokers who introduce a new prospective franchisee to the company. The amount of the referral fee varies depending on the type of bakery: $5,000 for a Full Bakery, $750 for an Express Bakery, and $500 for a Concession Bakery. To qualify for the referral fee, Cinnabon must approve the new prospect, and both Cinnabon and the prospect must sign a Franchise Agreement within six months of the referral. Additionally, the prospective franchisee must pay the full Initial Franchise Fee.

This policy has implications for existing franchisees of other GoTo Foods brands who might be considering expanding their portfolio to include a Cinnabon franchise. While they are welcome to become Cinnabon franchisees, another franchisee referring them would not be eligible for the referral fee. The referral fee is only paid once in connection with the first franchise agreement signed with a brand in the GoTo Foods Portfolio. To receive a referral fee, the franchisee making the referral must be in full compliance with all Franchise Agreements between them and Cinnabon. Cinnabon retains the right to terminate, cancel, or modify the referral program at any time.