What is the maximum frequency that Cinnaholic can require a franchisee to refurbish the premises?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
- (xvii) Without limiting any of Franchisee's other obligations under this Agreement, at the request of Franchisor, but not more often than once every 5 years, unless sooner required by Franchisee's lease, Franchisee shall refurbish the premises of the Bakery at its expense, to conform to the Bakery, trade dress, color schemes and presentation of the Marks in a manner consistent with the thencurrent image for new Bakeries ("Refurbishments").
Refurbishments may include structural changes, installation of new equipment and signs, remodeling, redecoration and modifications to existing improvements.
Refurbishments are intended to be large-scale re-equipping, refurbishing and remodeling of the Bakery, and nothing contained in this Subsection (xvii) of this Agreement will limit Franchisee's other obligations under this Agreement or the Operations Manual.
Source: Item 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, the company can request a franchisee to refurbish their bakery premises, but not more often than once every five years. However, there is an exception to this rule: if the franchisee's lease requires refurbishment sooner, the franchisee must comply with the lease terms.
These refurbishments are at the franchisee's expense and must conform to Cinnaholic's current image for new bakeries, including trade dress, color schemes, and presentation of the brand's trademarks. The refurbishments may involve significant changes such as structural modifications, new equipment and signs, remodeling, redecoration, and modifications to existing improvements.
This requirement ensures that all Cinnaholic locations maintain a consistent and up-to-date brand image. For a prospective franchisee, this means planning for potentially significant expenses every few years to keep the bakery aligned with Cinnaholic's standards. It is important to review the lease terms carefully to understand if refurbishment may be required more frequently than every five years, and to factor these costs into long-term financial projections.