What is the significance of the affiliation between Nothing Bundt Cakes and Schlotzsky's Franchisor SPV LLC?
Nothing_Bundt_Cakes Franchise · 2025 FDDAnswer from 2025 FDD Document
ated Franchise Programs
Through control with private equity funds managed by Roark Capital Management, LLC, we are affiliated with the following franchise programs ("Affiliated Programs"). None of these affiliates operate a Nothing Bundt Cakes franchise.
GoTo Foods Inc. ("GoTo Foods") is the indirect parent company to seven franchisors, including: Auntie Anne's Franchisor SPV LLC ("Auntie Anne's"), Carvel Franchisor SPV LLC ("Carvel"), Cinnabon Franchisor SPV LLC ("Cinnabon"), Jamba Juice Franchisor SPV LLC ("Jamba"), McAlister's Franchisor SPV LLC ("McAlister's"), Moe's Franchisor SPV LLC ("Moe's"), and Schlotzsky's Franchisor SPV LLC ("Schlotzsky's"). All seven GoTo Foods franchisors have a principal place of business at 5620 Glenridge Drive NE, Atlanta, GA 30342 and have not offered franchises in any other line of business.
Auntie Anne's franchises Auntie Anne's® shops that offer soft pretzels, lemonade, frozen drinks, and related foods and beverages. In November 2010, the Auntie Anne's system became affiliated with GoTo Foods through an acquisition. Auntie Anne's predecessor began offering franchises in January 1991. As of December 31, 2024, there were 1,182 franchised and 11 affiliate-owned Auntie Anne's shops in the United States and 815 franchised Auntie Anne's shops outside the United States.
Carvel franchises Carvel® ice cream shoppes and is a leading retailer of branded ice cream cakes in the United States and a producer of premium soft-serve ice cream. The Carvel system became an Affiliated Program in October 2001 and became affiliated with GoTo Foods in November 2004. Carvel's predecessor began franchising retail ice cream shoppes in 1947.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS AND AFFILIATES (FDD pages 8–19)
What This Means (2025 FDD)
According to the 2025 Nothing Bundt Cakes Franchise Disclosure Document, Nothing Bundt Cakes is affiliated with Schlotzsky's Franchisor SPV LLC through common control by private equity funds managed by Roark Capital Management, LLC. Specifically, Schlotzsky's is one of seven franchisors that are indirect subsidiaries of GoTo Foods Inc., which is controlled by Roark Capital Management. This means that while Nothing Bundt Cakes and Schlotzsky's are separate franchise systems, they share a common ownership and management structure at the private equity level.
For a prospective Nothing Bundt Cakes franchisee, this affiliation indicates that the brand benefits from the resources and expertise of a larger organization with experience in managing multiple franchise systems. Roark Capital Management's involvement suggests a level of sophistication and financial backing that may not be present in smaller, independent franchise operations. This could translate to more robust support systems, better access to capital, and more strategic decision-making.
However, the FDD explicitly states that none of the affiliated franchisors are obligated to provide products or services to Nothing Bundt Cakes franchisees. While franchisees may choose to purchase products or services from these affiliated franchisors, there is no requirement to do so. The document also clarifies that Nothing Bundt Cakes does not operate businesses of the type offered by its affiliates, and vice versa. As of December 31, 2024, Schlotzsky's had 280 franchised and 28 affiliate-owned restaurants in the United States.
It's important for potential franchisees to understand that while the affiliation with Schlotzsky's and other franchise systems under Roark Capital Management's umbrella may offer certain advantages, Nothing Bundt Cakes operates as an independent brand with its own unique system and requirements. Franchisees should focus on the specific terms and conditions of the Nothing Bundt Cakes franchise agreement and not assume any direct benefits or obligations based solely on the affiliation with other brands.