What documentation is required for local advertising expenditures by Cinnaholic franchisees?

According to Cinnaholic's 2025 Franchise Disclosure Document, franchisees must provide a statement of local advertising expenditures for each calendar quarter and fiscal year to date. This statement must be in a format that Cinnaholic finds satisfactory. Additionally, franchisees must submit invoices documenting these expenditures if Cinnaholic requires them. This documentation is due within 15 days after the end of each calendar quarter.

This requirement ensures that Cinnaholic franchisees are adhering to the local advertising obligations outlined in the franchise agreement, which mandates spending a minimum of 2% of gross sales per calendar quarter on local advertising. By requiring franchisees to submit documentation, Cinnaholic can verify that these funds are being spent appropriately and in accordance with the brand's standards.

It is important for prospective franchisees to understand that Cinnaholic has the right to request invoices to substantiate advertising expenditures. Failure to provide adequate documentation or meet the minimum spending requirements could be considered a breach of the franchise agreement. Franchisees should maintain detailed records of all local advertising expenses to ensure compliance with these requirements.