Is All County required to utilize the Advertising Fund to benefit all All County businesses?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
ployee, consultant, representative, agent or otherwise for a Competitive Business, wherever located. You are prohibited from selling or transferring any of the accounts or clients of the Business to anyone except to us or to one of our designees or to another ALL COUNTY® business that has been approved in writing by us.
- 16.1.3. Recruiting. You will not recruit or hire any person who is our employee or the employee of any other ALL COUNTY® business without obtaining the prior written permission of that person's employer.
17. MARKETING.
17.1. Advertising Fund. We may establish an advertising fund ("Advertising Fund") for such advertising, marketing and public relations programs and materials as we deem necessary or appropriate in our sole business judgment. The Advertising Fund is intended to maximize recognition of the Marks and patronage of ALL COUNTY® businesses**.** We will endeavor to utilize the Advertising Fund to develop advertising and marketing materials and programs and to place
advertising that will benefit all ALL COUNTY® businesses. You will be required to contribute to the Advertising Fund as set forth in this Agreement.
- 17.1.1. Contribution. Each Accounting Period during the Term of the Agreement, you agree to contribute to the Advertising Fund an amount which shall be calculated as either the greater of one percent (1%) of Gross Revenue the Business derived during the respective Accounting Period or One Hundred Ninety Five Dollars ($195) (the "Ad Fee"). The Ad Fee shall be payable monthly at the same time and in the same manner as the Royalty due hereunder.
- 17.1.2. Control. We will direct and control all programs financed by the Advertising Fund, with sole business judgment over the creative concept materials and endorsements used therein and the geographic market and media placement and allocation thereof. We may do the marketing and advertising or we may elect to outsource the marketing and advertising to an agency.
- 17.1.3. Purpose of Advertising Fund. The Advertising Fund may be used to pay the costs of maintaining, administering, directing, conducting and preparing advertising, marketing, public relations, and/or promotional programs and materials, and any other activities which we believe will enhance the image of the System, including, among other things, the costs of preparing and conducting radio, cable television and print advertising campaigns; developing, maintaining, and updating a Website on the Internet; direct mail advertising; marketing surveys; employing advertising and/or public relations agencies to assist therein; purchasing promotional items; and providing promotional and other marketing materials and services to the businesses operating under the System. The Advertising Fund will furnish you with samples of advertising, marketing formats, promotional formats and other materials at no additional cost to you when we deem appropriate. Multiple copies of such materials will be furnished to you at our direct cost of producing them plus any related shipping, handling and storage charges.
- 17.2. Accounting of Advertising Fund.
Source: Item 23 — Receipts (FDD pages 43–157)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, All County will endeavor to utilize the Advertising Fund to develop advertising and marketing materials and programs and to place advertising that will benefit all All County businesses. However, All County does not guarantee that expenditures from the Advertising Fund will be proportional to the contributions made by All County businesses in any specific geographic area. Nor does All County ensure that any All County business will directly benefit in proportion to their Ad Fees paid to the Advertising Fund from the development of advertising and marketing materials or the placement of advertising.
All County has sole business judgment over the creative concept materials and endorsements used in advertising, as well as the geographic market and media placement and allocation. All County may choose to handle the marketing and advertising themselves or outsource it to an agency. The Advertising Fund can be used for various activities that All County believes will enhance the image of the System.
Franchisees are required to contribute to the Advertising Fund. Each accounting period, franchisees must contribute the greater of 1% of gross revenue or $195 as an Ad Fee. All County also reserves the right to defer or reduce contributions of an All County business franchisee and, upon thirty (30) days' prior written notice to you, to reduce or suspend your payment of Ad Fees to and suspend operations of the Advertising Fund for one or more periods of any length and to terminate (and if terminated to reinstate) the Advertising Fund.
If the Advertising Fund is terminated, all unspent monies on the date of termination will be distributed to All County's franchisees in proportion to their respective contributions to the Advertising Fund during the preceding three (3) month period.