What is the 'Minimum Performance Schedule' for Crave defined as?

According to Crave's 2025 Franchise Disclosure Document, the Minimum Performance Schedule is defined within the Multi-Unit Development Agreement. This schedule outlines the minimum number of Crave outlets a Multi-Unit Developer is obligated to establish and operate under individual Franchise Agreements within a specific Development Area. The agreement authorizes the Multi-Unit Developer to establish and operate Crave outlets pursuant to a Franchise Agreement for each Franchised Business. The Minimum Performance Schedule is considered complete, and the agreement expires, once the final Franchised Business to be developed under the agreement is opened.

For a prospective franchisee, this means that if you enter into a Multi-Unit Development Agreement with Crave, you will be bound by a specific timeline and quota for opening new locations. Failing to meet the milestones set in the Minimum Performance Schedule could result in penalties or termination of the agreement. The Development Area, which defines the geographic region where the franchisee has the right to develop Crave outlets, is detailed in Attachment 2 of the Multi-Unit Development Agreement.

Crave emphasizes the importance of timely development according to the Minimum Performance Schedule, stating that it is a material condition for the continuation of the rights granted under the agreement. However, Crave also acknowledges that delays can occur due to unforeseen circumstances, such as natural disasters or acts of war (Force Majeure), which would excuse the franchisee from default. It is important to note that lack of financing is specifically excluded from the definition of Force Majeure.

Prospective franchisees should carefully review the Minimum Performance Schedule, including the required number of outlets and the deadlines for opening them, to ensure they have the resources and capabilities to meet these obligations. They should also understand the implications of failing to meet the schedule and the conditions under which delays may be excused. It is also important to note that the agreement is not a Franchise Agreement and does not grant any right to use the Marks or System.