factual

After Cream approves the lease, what must a franchisee promptly apply for?

Cream Franchise · 2025 FDD

Answer from 2025 FDD Document

Once you receive our approval of your Lease, you must promptly apply for permits and other local licenses necessary to complete the construction outlined in your Construction Plans. We may require that you use suppliers we approve or designate to manage your permit and licensing applications. After signing your Lease and obtaining necessary permits, you must promptly begin to develop and outfit your Shop in accordance with the Construction Plans we have approved, at your cost, including that you must promptly obtain all required zoning changes, planning consents, building, utility, sign and business and other permits, consents and licenses necessary to lawfully open and operate your Shop. You may not modify the Construction Plans in any manner without our approval of such modifications. You must ensure that your Shop is designed and constructed in all respects in accordance with the Construction Plans we have approved. You must also, at your cost, to do all things necessary to develop and prepare your Shop for opening in accordance with this Agreement and our System Standards (defined in Section 4.E) including that you must:

Source: Item 23 — RECEIPTS (FDD pages 61–192)

What This Means (2025 FDD)

According to Cream's 2025 Franchise Disclosure Document, after Cream approves the lease for the premises, the franchisee must promptly apply for permits and other local licenses necessary to complete the construction outlined in the Construction Plans. Cream may require the franchisee to use suppliers they approve or designate to manage the permit and licensing applications.

After signing the lease and obtaining the necessary permits, the franchisee must promptly begin to develop and outfit the shop in accordance with the approved Construction Plans, at their own cost. This includes obtaining all required zoning changes, planning consents, building, utility, sign, business, and other permits, consents, and licenses necessary to lawfully open and operate the Cream shop. The franchisee cannot modify the Construction Plans without Cream's approval and must ensure that the shop is designed and constructed in accordance with the approved Construction Plans.

This requirement ensures that the Cream shop adheres to all local regulations and standards, and that the franchisee has the necessary legal permissions to operate. The franchisee bears the responsibility for all costs associated with obtaining these permits and licenses, as well as for ensuring compliance with the Construction Plans. Cream's involvement in approving suppliers for permit and licensing applications suggests that they want to maintain a level of control over this process, potentially to ensure consistency and compliance across all franchise locations.

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.