factual

Can a Crave Cookies franchisee use assets of the Business for any purpose other than the Business?

Crave_Cookies Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 7.25 No Other Activity Associated with the Business. Franchisee shall not engage in any business or other activity at the Location other than operation of the Crave Cookies Business. Franchisee shall not use assets of the Business for any purpose other than the Business. If Franchisee is an entity, the entity shall not own or operate any other business except Crave Cookies businesses.

Source: Item 22 — CONTRACTS (FDD page 47)

What This Means (2025 FDD)

According to Crave Cookies's 2025 Franchise Disclosure Document, a franchisee is explicitly prohibited from using the business's assets for any purpose other than operating the Crave Cookies business. This restriction ensures that all resources are dedicated to the success and growth of the franchise, preventing any diversion of assets for personal or unrelated business activities.

This requirement is fairly standard in franchising, as franchisors want to ensure brand consistency and protect their trademarks. By preventing franchisees from using business assets for other purposes, Crave Cookies aims to maintain control over how the franchise operates and safeguard the brand's reputation.

Furthermore, if the franchisee is an entity, that entity is not allowed to own or operate any other business besides the Crave Cookies franchise. This prevents conflicts of interest and ensures the franchisee's full attention is dedicated to the Crave Cookies business. This measure is in place to protect the franchisor's interests and maintain the integrity of the Crave Cookies brand.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.