factual

What is the length of the initial franchise term for a Cinnaholic franchise?

Cinnaholic Franchise · 2025 FDD

Answer from 2025 FDD Document

Provision Section in Franchise Agreement Summary
a. Length of the franchise term Section 2.1 10 years
b. Renewal or extension of the term Section 2.2 If you meet the requirements, you can renew for one additional consecutive 10 year term; after that you will have no right to renew the Franchise Agreement.
c. Requirements for franchisee to renew or extend Section 2.2 You must: provide written notice of election to renew; not be in default of the Franchise Agreement or any other agreement relating to the Bakery; sign the then-current form of Franchise Agreement; pay a renewal fee; refurbish the Bakery, if required; complete any required retraining program; sign the current form of general release in Exhibit J to this Disclosure Document; and maintain ownership or leasehold interest in the Bakery location or secure a suitable alternative. Terms of the then-current form of Franchise Agreement may differ materially from any and all of those contained in the Franchise Agreement attached to this Disclosure Document.

Source: Item 17 — RENEWAL, TERMINATION, TRANSFER, AND DISPUTE RESOLUTION THE FRANCHISE RELATIONSHIP (FDD pages 42–50)

What This Means (2025 FDD)

According to the 2025 Cinnaholic Franchise Disclosure Document, the initial franchise term is 10 years, as detailed in Section 2.1 of the franchise agreement. This means a new Cinnaholic franchisee will operate under the terms of the franchise agreement for a decade before needing to consider renewal.

Cinnaholic offers an opportunity for renewal or extension of the franchise term, as outlined in Section 2.2 of the franchise agreement. If a franchisee meets specific requirements, they can renew for one additional consecutive 10-year term. After this renewal, there is no further right to renew the Franchise Agreement.

To renew the Cinnaholic franchise, the franchisee must provide written notice of their election to renew, not be in default of the Franchise Agreement or any other agreement related to the bakery, and sign the then-current form of Franchise Agreement. Additionally, they must pay a renewal fee, refurbish the bakery if required, complete any required retraining program, sign the current form of general release in Exhibit J of the Disclosure Document, and maintain ownership or leasehold interest in the bakery location or secure a suitable alternative. It is important to note that the terms of the then-current form of Franchise Agreement may differ materially from those in the original Franchise Agreement.

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.