Can a Cinnaholic franchisee sell products for resale?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
We will not restrict you from soliciting any customers, no matter who they are or where they are located. However, you may only sell products to consumers for consumer purposes (and not for resale). You may not sell products at wholesale.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 41–42)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, franchisees are restricted from selling products for resale. The FDD specifies that franchisees may only sell products to consumers for their direct use and not for resale purposes. Additionally, Cinnaholic franchisees are prohibited from engaging in wholesale activities.
This restriction ensures that Cinnaholic maintains control over its brand and distribution channels. By preventing resale, Cinnaholic can manage product quality, pricing, and customer experience more effectively. This policy is common in franchise systems to protect brand integrity and prevent unauthorized distribution.
While franchisees cannot sell for resale, they are permitted to provide delivery and catering services within a limited area. Specifically, they can offer these services within or outside their franchise territory, provided it is within a reasonable distance from their bakery, not exceeding 10 miles, using ground transportation. This allows franchisees to expand their customer base through direct consumer sales while adhering to the brand's distribution policies.