What is the E-Commerce Program for Nothing Bundt Cakes?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
The grant of a franchise includes the right, but also the obligation to engage in e-commerce through our E-Commerce Program which includes our Website, our 2PD program, and other e-commerce platforms approved by us including, but not limited to, 3PD platforms. Pursuant to the E-Commerce Program, you must fulfill online orders Guests place which require pick-up, delivery, or shipping within your Territory pursuant to the terms we negotiate. You are required to offer delivery on the Website and other e-commerce platforms approved by us as well as offer delivery for phone and walk-in orders. The Bakery selected to fulfill an E-Commerce Program order will be determined solely by us or the third-party platform in accordance with algorithms that evaluate a number of different factors. Franchisees have no right to object or contest any decision made by us with respect to the Bakery selected to fulfill orders. All Guest payments will be remitted directly to the franchisee's designated bank account, net of any vendor's then-current credit card processing or other fees (the "Vendor Fee") and gateway fees, to administer the platform and process payments, which are subject to change. We have the right to change the products and services offered through any E-Commerce Program and the suggested retail price for such goods. We may prohibit a franchisee from participating in the E-Commerce Program if the franchisee is not compliant with the terms of the E-Commerce Program, its franchise agreement, the Operations Manual, or any other agreement with us or our affiliates and subsidiaries. We may change the user terms, approved e-commerce platforms, our vendors, and methods and times for payment under the E-Commerce Program at our discretion. If a franchisee refuses or fails to fulfill e-commerce orders, fails to offer delivery, fails to deliver goods or services meeting our standards and specifications, or is otherwise not in material compliance with its obligations under its franchise agreement, we may allow a Bakery outside of the franchisee's territory to fulfill the orders without any compensation, reimburse the Guest, provide gift certificates, or otherwise remedy the situation, and the franchisee will be responsible for our costs in doing so. As a franchisee, you must pay us or our designated supplier the then-current E-Commerce Program fees associated with building and maintaining the Website or other platform and fulfilling Guest orders. We may require a franchisee to ship cakes from your Bakery to locations outside of your Territory.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 63–64)
What This Means (2025 FDD)
According to Nothing Bundt Cakes's 2025 Franchise Disclosure Document, franchisees are required to participate in the E-Commerce Program, which includes the Nothing Bundt Cakes website, their 2PD program, and other approved e-commerce platforms, including 3PD platforms. Franchisees must fulfill online orders placed by guests for pick-up, delivery, or shipping within their territory, according to the terms negotiated by Nothing Bundt Cakes. Franchisees must offer delivery on the website and other approved e-commerce platforms, as well as for phone and walk-in orders.
The selection of the bakery to fulfill an E-Commerce Program order is determined solely by Nothing Bundt Cakes or the third-party platform, using algorithms that consider various factors. Franchisees cannot object to these decisions. Guest payments, minus vendor fees for credit card processing and gateway fees, are remitted directly to the franchisee's bank account. Nothing Bundt Cakes has the right to change the products and services offered through the E-Commerce Program, as well as the suggested retail prices.
Nothing Bundt Cakes may prohibit a franchisee from participating in the E-Commerce Program if they are not compliant with the terms of the program, their franchise agreement, the Operations Manual, or any other agreement with Nothing Bundt Cakes or its affiliates and subsidiaries. Nothing Bundt Cakes may also change the user terms, approved e-commerce platforms, vendors, and payment methods at its discretion. If a franchisee fails to fulfill e-commerce orders, offer delivery, or meet the required standards, Nothing Bundt Cakes may allow a bakery outside of the franchisee's territory to fulfill the orders, reimburse the guest, or provide gift certificates, with the franchisee responsible for the costs incurred by Nothing Bundt Cakes.
Franchisees must pay the then-current E-Commerce Program fees associated with building and maintaining the website or other platform and fulfilling guest orders to Nothing Bundt Cakes or its designated supplier. Nothing Bundt Cakes may also require a franchisee to ship cakes from their bakery to locations outside of their territory. This comprehensive program highlights the importance of e-commerce to the Nothing Bundt Cakes brand and places specific obligations and responsibilities on the franchisee to ensure its success.