Must all owners of the proposed assignee of a Crave Cookies franchise provide a guaranty?

According to Crave Cookies' 2025 Franchise Disclosure Document, if a franchisee seeks to transfer their franchise to another party, all owners of the proposed assignee must provide a guaranty. This guaranty must align with the requirements outlined in Section 2.5 of the franchise agreement.

This requirement ensures that Crave Cookies has a financial commitment from all individuals with an ownership stake in the entity taking over the franchise. This is a protective measure for the franchisor, as it provides recourse against multiple individuals should the franchise underperform or default on its obligations. The specifics of Section 2.5, which details the guaranty requirements, are crucial for potential assignees to understand the full scope of their financial responsibilities.

For a prospective franchisee, this condition highlights the importance of carefully vetting potential owners of any entity to which they might consider transferring the franchise in the future. It also underscores the need for all owners to be fully aware of and willing to accept the financial obligations associated with the Crave Cookies franchise.