Does Cinnaholic reserve rights regarding catering services?
Cinnaholic Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.4.
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 22 — CONTRACTS (FDD pages 61–62)
What This Means (2025 FDD)
According to Cinnaholic's 2025 Franchise Disclosure Document, franchisees are permitted to provide catering and delivery services within a 10-mile radius of their franchised site. This radius can extend both within and outside of the franchisee's exclusive territory, provided that the services are conducted via ground transportation.
Cinnaholic franchisees are allowed to offer catering and delivery services in other franchisees' exclusive territories, and vice versa. This creates a cooperative environment where franchisees can potentially expand their reach beyond their immediate area. However, all catering and delivery services must be provided via ground transportation and within the specified mileage restriction.
This arrangement allows Cinnaholic franchisees to tap into catering opportunities without being unduly restricted by territorial boundaries, fostering a collaborative network among franchisees. Prospective franchisees should consider the implications of this policy on their business strategy, particularly in areas with high population density or numerous Cinnaholic locations.