Does Nothing Bundt Cakes require a Site Selection Addendum as part of its Franchise Agreement?

According to the 2025 Nothing Bundt Cakes Franchise Disclosure Document, a Site Selection Addendum is a required part of the Franchise Agreement. Upon signing the Franchise Agreement, franchisees must also enter into the Site Selection Addendum, which is included as Exhibit 1 to the Franchise Agreement. This addendum outlines a site selection territory and governs the site selection process.

This requirement means that prospective Nothing Bundt Cakes franchisees must work closely with the franchisor to identify and approve a location for their bakery. The Site Selection Addendum ensures that both parties are aligned on the criteria and process for choosing an appropriate site. The addendum also specifies that the franchisee must purchase or lease a location that meets Nothing Bundt Cakes' standards within 90 days of the Franchise Agreement's effective date.

Furthermore, Nothing Bundt Cakes retains the right to review, evaluate, and approve the franchisee's lease for the chosen location before it is executed. The franchisor may also require a "Collateral Assignment of Lease," granting them the right to assume the lease under certain conditions, such as the franchisee's default or the termination of the Franchise Agreement. This level of franchisor involvement in site selection and lease negotiation is common in franchising, as the location's suitability significantly impacts the bakery's potential success.