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For a Cinnaholic franchise, what happens if the franchisee purchases an existing Cinnaholic bakery regarding the grand opening promotion?

Cinnaholic Franchise · 2025 FDD

Answer from 2025 FDD Document

anchisor with respect to all social media and digital marketing. Franchisee must grant Franchisor access to all Social Media Accounts including submitting passwords and login identifiers of social media accounts to Franchisor, within five (5) days of setting up any such account or changing any passwords or login identifiers

11. ADVERTISING

11.1. Grand Opening. Franchisee, at its sole expense, must develop and implement a grand opening promotion approved by Franchisor to introduce or (if Franchisee is purchasing an existing Bakery) to re-introduce the Bakery to the public during the period that is 30 days prior and 60 days after the opening of the Bakery or 60 days after the transfer of the Bakery (if Franchisee is purchasing an existing Bakery). Franchisee is required to spend a minimum of $5,000 for the grand opening promotion. $1,500 to $2,000 (of the $5,000) must be spent on a public relations vendor of our choice or approval. To the extent Franchisor has developed or approved marketing or advertising programs and materials for the Bakery's grand opening, Franchisee must use such programs and materials. Part of Franchisee's grand opening promotion will include obtaining pre and/or post opening coaching by a vendor designated by Franchisor and the

Source: Item 22 — CONTRACTS (FDD pages 61–62)

What This Means (2025 FDD)

According to Cinnaholic's 2025 Franchise Disclosure Document, a franchisee who purchases an existing Cinnaholic bakery must still conduct a grand opening promotion. This promotion serves to re-introduce the bakery to the public.

The grand opening promotion must occur during the 60-day period after the transfer of the bakery to the new franchisee. The franchisee is obligated to spend a minimum of $5,000 on this promotion. A portion of this amount, between $1,500 and $2,000, must be allocated to a public relations vendor that Cinnaholic approves or designates.

Cinnaholic also requires the franchisee to use any marketing or advertising programs and materials that Cinnaholic has developed or approved for the grand opening. Additionally, the franchisee must obtain pre- and/or post-opening coaching from a vendor designated by Cinnaholic, and the cost of this coaching counts toward the $5,000 grand opening promotion expenditure. Cinnaholic emphasizes that this mandatory grand opening process is integral to starting the franchised unit, and the franchisee must follow Cinnaholic's instructions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.