Who is guaranteeing that the Franchisee will punctually pay and perform each undertaking, condition, and covenant set forth in the Cinnaholic Franchise Agreement?

According to Cinnaholic's 2025 Franchise Disclosure Document, the Franchisee is guaranteed to punctually pay and perform each undertaking, condition, and covenant set forth in the Franchise Agreement by the undersigned. This guarantee extends for the term of the Franchise Agreement, including any extensions or renewals, and continues until all obligations of the Franchisee to Cinnaholic have been satisfied. This guarantee is made jointly and severally, personally, absolutely, and unconditionally.

In practical terms, this means that the individual signing the guarantee is personally responsible for ensuring the Cinnaholic franchise fulfills all its financial and operational obligations under the Franchise Agreement. This includes, but is not limited to, timely payment of fees, adherence to operational standards, and compliance with all contractual terms. The guarantor's personal assets may be at risk if the franchise fails to meet its obligations.

For a prospective Cinnaholic franchisee, this highlights the importance of understanding the full scope of the Franchise Agreement and the financial commitment involved. It also underscores the need to carefully consider who will act as the guarantor, as this individual will bear significant personal responsibility for the franchise's performance. Franchisees should seek legal and financial advice to fully understand the implications of this guarantee before signing the Franchise Agreement.