How many days before the start of each calendar year must a Cream franchisee update the business plan?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
Within 60 days after the Effective Date, you must prepare and give us a business plan including a projected schedule for Jeni's Ice Creams Scoop Shop development and detailed cost and revenue projections for your activities under this Agreement. At least 90 days before the start of each calendar year during the Term, you must update the business plan to cover both actual results for the previous year and projections for the then-current year. You acknowledge and agree that, while we may review and provide comments on the business plan and any updates you submit to us, regardless of whether we approve, disapprove, require revisions, or provide other comments with respect to the business plan or any updated business plan, we take no responsibility for and make no guarantees or representations, expressed or implied, with respect to your ability to meet the business plan or to achieve the results set forth therein. You bear the entire responsibility for achievement of the business plan you develop.
Source: Item 23 — RECEIPTS (FDD pages 61–192)
What This Means (2025 FDD)
According to Cream's 2025 Franchise Disclosure Document, a franchisee is required to update their business plan at least 90 days before the start of each calendar year. This updated plan should include both the actual results from the previous year and projections for the current year.
This requirement ensures that Cream franchisees regularly assess their business performance and plan for the future. By updating the business plan annually, franchisees can track their progress, identify areas for improvement, and make informed decisions about their operations. The 90-day lead time allows Cream to review the updated plan and provide feedback, although Cream makes no guarantees regarding the franchisee's ability to meet the plan's objectives.
Cream's business plan update requirement is a fairly standard practice in franchising, as it helps to ensure that franchisees are actively engaged in managing their businesses and adapting to changing market conditions. However, the specific timing and content of the business plan may vary depending on the franchise system. Prospective franchisees should carefully review the franchise agreement and related documents to understand the full scope of their obligations.