What is a Cinnaholic Developer required to do if a proposed site is rejected?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
Developer acknowledges and agrees that Franchisor may reject any proposed site for any reason in its sole discretion, in which event, Developer may not develop a Bakery at the rejected site, but must locate another proposed site for the Bakery and submit it to Franchisor for acceptance in accordance with this Section 7.1.
Source: Item 23 — RECEIPT (FDD pages 62–269)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, if Cinnaholic rejects a proposed site for a bakery, the Developer cannot develop a Cinnaholic bakery at that rejected site. Instead, the Developer must find another potential location and submit it to Cinnaholic for approval, following the site selection process outlined in the agreement. Cinnaholic retains the sole discretion to reject any proposed site.
This means that the responsibility for finding suitable locations rests entirely with the Developer. While Cinnaholic may offer counseling and advice during the site selection process, they are not liable for the suitability of the site or the success of the bakery. The Developer bears the risk of investing time and resources into site acquisition before Cinnaholic provides written acceptance.
This requirement underscores the importance of thorough due diligence and market research on the part of the Developer. It also highlights the need for a strong working relationship with Cinnaholic to understand their site selection criteria and preferences. The Developer should be prepared to present multiple site options and be persistent in finding a location that meets Cinnaholic's approval.