Can the Angry Chickz Brand Fund be used for public relations and community involvement activities?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
Expenditures and uses of the fund may include: (a) creative development, production and placement of print and electronic media advertisements, commercials, musical jingles, decals, radio spots, audio advertising, point of purchase materials, direct mail pieces, literature, outdoor advertising, door hangers, and other advertising and promotional materials; (b) creative development, preparation, production and placement of video, audio and written materials and electronic media, including social media campaigns, (c) purchasing artwork and other components for advertising; (d) media placement and buying, including search engine marketing, search engine optimization, and all associated expenses and fees; (e) administering national, regional and multi-regional marketing and advertising programs; (f) market research, marketing studies and customer satisfaction surveys, including the use of secret shoppers; (g) development, production and acquisition of premium items, giveaways, promotions, contests, public relations events, and charitable or nonprofit events; (h) creative development of visual advertisements and marketing materials, including signage, posters, and graphics; (i) recognition and awards events and programs; (j) system recognition events, including periodic national and regional conventions and meetings; (k) website, extranet and/or Intranet development, implementation and maintenance; (l) development, implementation and maintenance of websites, loyalty programs and/or mobile applications, bookings/reservations, and/or related strategies; (m) retention and payment of advertising and promotional agencies and other outside advisors, including retainers and management fees; (n) public relations and community involvement activities and programs; (o) expenditures for activities conducted for the benefit of co-branding, or other arrangements where products and/or services are offered in conjunction with other marks or through alternative channels of distribution; and (p) expenditures with others joint marketing campaigns, jointly developed advertising and other joint programs.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 26–33)
What This Means (2025 FDD)
According to Angry Chickz's 2025 Franchise Disclosure Document, the Brand Fund can be used for public relations and community involvement activities and programs. The franchisor directs all uses of the fund and controls the creative concepts, materials, media used, media placement, and allocation.
Expenditures from the Brand Fund may include a variety of advertising and promotional activities such as print and electronic media advertisements, social media campaigns, market research, and the development of promotional items. It also covers the retention of advertising agencies and advisors. The Brand Fund can be used for costs associated with administering and paying for advertising to promote the image of Angry Chickz restaurants.
While Angry Chickz intends for the Brand Fund to be perpetual, it can be terminated once all the money has been spent for advertising and promotional purposes. The FDD specifies that during the last fiscal year, 60% of the Brand Fund was spent on social media, 15% on administrative expenses, and 25% on other marketing (digital, PR, guest feedback software).