How often must a Cream franchisee update their 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.
You must send us a report of your business activities, including information about your efforts to find sites for Jeni's Ice Creams Scoop Shops in the Development Area and the status of development and projecting openings for each Jeni's Ice Creams Scoop Shop under development in the Development Area as follows: (a) until your first Jeni's Ice Creams Scoop Shop is open for business, on a monthly basis within 7 days of the end of each calendar month; and (b) after your first Jeni's Ice Cream Scoop Shop is open for business, on a quarterly basis within 15 days of the end of each calendar quarter. We may at any time during the Term also request further information about your development plans, and you agree to provide us such information upon request.
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 during the term of their agreement. This updated plan should cover both the actual results from the previous year and projections for the current year. The initial business plan, including a projected development schedule and detailed cost and revenue projections, must be prepared and submitted to Cream within 60 days after the effective date of the franchise agreement.
Cream may review and provide comments on the business plan and any updates, but the document states that Cream takes no responsibility for the franchisee's ability to meet the plan or achieve the projected results. The franchisee bears the entire responsibility for achieving the goals outlined in their business plan. This highlights the importance of creating a realistic and well-researched plan.
In addition to the business plan, Cream requires franchisees to submit regular reports on their business activities. Until the first Cream Scoop Shop opens, these reports must be submitted monthly, within 7 days of the end of each calendar month. After the first shop opens, the reporting frequency changes to quarterly, with reports due within 15 days of the end of each calendar quarter. These reports should include information on site selection efforts and the development status of each Cream Scoop Shop.