Does the Crave Cookies franchise agreement prohibit Crave Cookies from operating or franchising a business under a different trademark that sells similar menu items, beverages, goods, or services?

According to Crave Cookies's 2025 Franchise Disclosure Document, the franchise agreement does not prohibit Crave Cookies from operating or franchising a business under a different trademark that sells similar menu items, beverages, goods, or services. While Crave Cookies states that neither they nor their affiliates currently operate, franchise, or have plans to operate or franchise a business under a different trademark selling similar items, beverages, goods, or services, they retain the right to do so in the future.

This lack of restriction in the franchise agreement means that Crave Cookies could potentially introduce a competing brand that offers similar products. This could directly impact a franchisee's business by diverting customers and sales. It's a notable risk factor for prospective franchisees to consider.

In the franchise industry, it is not uncommon for franchisors to reserve the right to operate other brands, but it is crucial for potential franchisees to understand the implications. Crave Cookies franchisees should be aware that the franchisor could introduce competition under a different brand, and they would have little recourse based on the franchise agreement. This highlights the importance of carefully evaluating the competitive landscape and the franchisor's long-term strategy before investing in a Crave Cookies franchise.