How does Cream determine the required modifications to a shop for franchise renewal?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
If we agree to grant you a renewal franchise after we receive your notice that you wish to renew your franchise upon the expiration of the Term, our notice may describe certain remodeling, maintenance, expansion, improvements, technology upgrades, trade dress updates, and/or modifications required to bring your Shop into compliance with then-applicable System Standards for new Jeni's Ice Creams Scoop Shops, and state the actions you must take to correct operating deficiencies and the time period in which you must correct these deficiencies. If our notice states that you must remodel your Shop and/or must cure certain deficiencies of your Shop or its operation as a condition to our granting you a renewal franchise, and you fail to complete the remodeling and/or to cure those deficiencies, we may revoke any approval of such a renewal franchise we may have awarded. If you fail to notify us of your election to acquire a renewal franchise within the prescribed time period, we need not grant you a renewal franchise.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, if Cream agrees to grant a renewal franchise, they will provide notice describing required actions. These may include remodeling, maintenance, expansion, improvements, technology upgrades, trade dress updates, and/or modifications needed to bring the shop into compliance with the System Standards applicable to new Cream shops at that time. The notice will also specify actions to correct any operating deficiencies and the timeframe for completing these corrections.
Cream may revoke approval of the renewal franchise if the franchisee fails to complete the required remodeling or correct the identified deficiencies within the given timeframe. Franchisees must also notify Cream of their intent to acquire a renewal franchise within the specified period, or Cream is not obligated to grant the renewal.
Furthermore, Cream's FDD states that the System Standards may change periodically, potentially requiring franchisees to invest additional capital in their shops or incur higher operating costs. Franchisees are responsible for implementing these changes according to Cream's System Standards and within the requested time period, which may include purchasing new equipment, changing signage, or offering different products. Franchisees are solely responsible for covering the costs of these changes.