In the Cinnaholic franchise agreement, does the 14-month deadline for commencing operation of the Bakery apply regardless of unforeseen circumstances?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
- (viii) Franchisee fails to commence operation of the Bakery at the Franchised Site within 14 months after execution of this Agreement, except for any delay that is agreed to in writing by the Franchisor, in its sole discretion;
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to the 2025 Cinnaholic Franchise Disclosure Document, a franchisee typically has 14 months from the execution of the franchise agreement to commence operation of their Cinnaholic bakery. However, this deadline is not absolute.
The franchise agreement allows for delays if Cinnaholic agrees to them in writing, granting the franchisor sole discretion in this decision. This means that if unforeseen circumstances arise that prevent the franchisee from opening within the 14-month period, the franchisee can request a written extension from Cinnaholic.
It is important for prospective Cinnaholic franchisees to understand that an extension is not guaranteed. Franchisees should maintain open communication with Cinnaholic and proactively address any potential delays. Securing written approval for any delay is critical to avoid being in default of the franchise agreement, which could lead to termination of the agreement by Cinnaholic.