Are Cinnaholic franchisees allowed to provide catering services?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
Catering and Delivery Services.
Franchisor acknowledges and agrees that Franchisee may provide catering and delivery services within a reasonable distance from the Franchised Site not to exceed 10 miles, within or without the Franchise Territory, but solely in connection with providing such catering and delivery services and provided such services are made by ground transportation.
Subject to the foregoing maximum mileage restriction, Franchisee may provide catering and delivery services in the exclusive territories of other CINNAHOLIC® franchisees, and other CINNAHOLIC® franchisees may provide the same services in the Franchise Territory.
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 permitted to provide catering and delivery services. Cinnaholic franchisees can offer these services within a 10-mile radius of their bakery, regardless of whether it's within their exclusive territory or not. Deliveries must be made via ground transportation.
This means a Cinnaholic franchisee can actively pursue catering opportunities to boost revenue, even if it means servicing areas within another franchisee's territory. However, other franchisees also have the same right within their territory. This creates both opportunities and potential competition between franchisees.
It is important to note that while franchisees can provide catering services in other territories, this is only allowed within the specified 10-mile radius and with ground transportation. Franchisees are also prohibited from shipping products outside of their territory. This restriction ensures that the primary focus remains on local service and prevents franchisees from expanding their reach through methods that could undermine the territorial rights of others.