What is the purpose of the Angry Chickz Brand Fund?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
8.3 Brand Fund.
8.3.1 Franchisee's Brand Fee shall be contributed to the Brand Fund. An amount equal to all Brand Fund revenues and allocations will be expended for national, regional, or local advertising, public relations or promotional campaigns or programs designed to promote and enhance the image, identity or patronage of franchised and Company and Company Affiliate owned Restaurants in the United States and such other regions as Company may designate. These expenditures 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 22 — CONTRACTS (FDD page 54)
What This Means (2025 FDD)
According to the 2025 Angry Chickz Franchise Disclosure Document, the Brand Fund is primarily used for advertising, public relations, and promotional campaigns to enhance the image and patronage of Angry Chickz restaurants. The Brand Fund is supported by franchisee contributions, referred to as the Brand Fee. These funds are intended to benefit both franchised and company-owned Angry Chickz locations.
The specific expenditures covered by the Brand Fund are broad, including the creation and placement of various advertising materials across different media, market research, and the development of promotional items and events. It also covers the costs associated with managing marketing programs, maintaining websites and mobile applications, and compensating advertising agencies and consultants. Franchisees are generally required to participate in programs initiated by Angry Chickz through the Brand Fund, with the fund providing marketing materials at cost.
Angry Chickz has significant discretion over how the Brand Fund is managed and spent. They determine the cost, media, content, timing, and allocation of advertising and promotional campaigns. While the funds are meant to be used for the benefit of the Angry Chickz system, there is no requirement to allocate the funds proportionally to benefit specific franchisees or groups of franchisees. The company is also not obligated to contribute to the Brand Fund, and they can use the fund to cover legal fees related to claims against the company or its affiliates concerning the Brand Fund.