Is a Crave Cookies franchisee required to renovate their business as a condition of renewing the franchise agreement?
Crave_Cookies Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.2 Successor Agreement. When the term of this Agreement expires, Franchisee may enter into a successor agreement for up to 2 additional periods of 5 years each, subject to the following conditions prior to each expiration:
- (i) Franchisee notifies Crave Cookies Franchising of the election to renew between 90 and 180 days prior to the end of the term;
- (ii) Franchisee (and its affiliates) are in compliance with this Agreement and all other agreements with Crave Cookies Franchising (or any of its affiliates) at the time of election and at the time of renewal;
- (iii) Franchisee has made or agrees to make (within a period of time acceptable to Crave Cookies Franchising) renovations and changes to the Business as Crave Cookies Franchising requires (including a Remodel, if applicable) to conform to the then-current System Standards;
Source: Item 22 — CONTRACTS (FDD page 47)
What This Means (2025 FDD)
According to Crave Cookies' 2025 Franchise Disclosure Document, franchisees may be required to complete renovations and changes to their business location as a condition of renewing their franchise agreement. Specifically, before each renewal period, the franchisee must make or agree to make renovations and changes to the Business as Crave Cookies requires to conform to the then-current System Standards. This includes a remodel, if applicable.
This requirement means that a Crave Cookies franchisee needs to be prepared to invest further in their location to keep it up-to-date with Crave Cookies' evolving brand standards if they wish to renew their franchise agreement. These renovations are in addition to the franchisee's ongoing obligations to comply with all System Standards, which may include requirements for cleaning, maintenance, and repair.
Crave Cookies also has the right to require franchisees to undertake and complete a Remodel of the Location to Crave Cookies' satisfaction. However, the FDD places some limitations on this right, stating that a remodel will not be required in the first two or last two years of the term (except that a Remodel may be required as a condition to renewal of the term or a Transfer), and a Remodel will not be required more than once every five years from the date on which Franchisee was required to complete the prior Remodel. Franchisees may be required to submit plans for approval prior to commencing a required Remodel.