Under what conditions can Cinnaholic revoke approval of particular goods, services, or suppliers?

According to Cinnaholic's 2025 Franchise Disclosure Document, Cinnaholic retains the right to revoke approval of specific goods, services, or suppliers if they determine, in their sole discretion, that these no longer meet the company's standards or specifications. If Cinnaholic provides a written notice of revocation, franchisees must immediately cease selling the disapproved products and discontinue purchasing from the disapproved supplier. This stipulation is in place to ensure that all Cinnaholic locations maintain a consistent level of quality and adhere to the brand's standards.

This provision is significant for prospective franchisees as it highlights Cinnaholic's control over the supply chain and product quality. While franchisees may initially have approved suppliers, Cinnaholic can change these approvals, potentially requiring franchisees to switch to new suppliers. This could impact a franchisee's costs and operational logistics, especially if new suppliers have different pricing or delivery schedules. Franchisees need to stay informed about any changes in approved suppliers and be prepared to adapt to these changes quickly to avoid disruptions in their business operations.

It is also important to note that Cinnaholic's standards and specifications, as well as the list of approved or designated suppliers, are detailed in the Operations Manual and other communications. Franchisees should regularly consult these resources to ensure compliance. Furthermore, Cinnaholic reserves the right to designate themselves or their affiliates as approved or sole suppliers in the future, which could affect the cost and availability of certain items. Understanding these potential changes is crucial for franchisees to manage their business effectively and maintain profitability.