Under what circumstances can the Cinnaholic Developer's agreement be transferred?

According to Cinnaholic's 2025 Franchise Disclosure Document, a developer's ability to transfer the Developer Agreement is restricted. Cinnaholic developers cannot subfranchise, sell, assign, transfer, merge, convey, or encumber the agreement, or allow such a transfer to occur by law or otherwise, without obtaining prior express written consent from Cinnaholic. This requirement ensures that Cinnaholic maintains control over who is developing their franchise locations and that any potential new developer meets their standards.

This restriction on transferability is a common practice in franchising, designed to protect the brand and maintain consistency across the franchise system. Cinnaholic wants to carefully vet and approve any new developers to ensure they have the necessary qualifications, experience, and financial resources to successfully develop and operate multiple Cinnaholic locations. Without this control, the brand could be at risk from underqualified or unsuitable developers.

Furthermore, if the Cinnaholic developer is a limited partnership, they cannot remove or appoint a new or successor general partner without Cinnaholic's prior written consent, even if the appointment is due to resignation, death, or disability of the General Partner. This provision further reinforces Cinnaholic's control over the management and operation of the development agreement, ensuring stability and adherence to their standards. A prospective franchisee should carefully consider these restrictions and discuss any potential future transfer scenarios with Cinnaholic before entering into a Developer Agreement.