Can Angry Chickz use Brand Fund money for website development?
Angry_Chickz Franchise · 2025 FDDAnswer from 2025 FDD Document
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 Angry Chickz's 2025 Franchise Disclosure Document, the Brand Fund, which is funded by franchisee's Brand Fees, can be used for website development, implementation, and maintenance. Specifically, the Brand Fund can cover expenses related to the development, implementation, and maintenance of websites, loyalty programs, mobile applications, bookings/reservations systems, and related strategies. This indicates that Angry Chickz has the discretion to allocate funds from the Brand Fund to enhance its online presence and customer engagement tools.
This is a common practice in franchising, where brand funds are used to support system-wide marketing and technology initiatives. By pooling resources, Angry Chickz aims to create a stronger brand image and provide franchisees with effective tools for attracting and retaining customers. The FDD specifies that the Brand Fund can be used for a variety of advertising, public relations, and promotional activities, including both traditional and digital marketing efforts.
While the FDD outlines the potential uses of the Brand Fund, it also states that Angry Chickz has the discretion to determine the allocation of these funds. This means that there is no guarantee that a specific amount will be spent on website development or any other particular activity. However, the inclusion of website-related expenses as an approved use of the Brand Fund suggests that Angry Chickz recognizes the importance of a strong online presence for its franchisees. Prospective franchisees should inquire about Angry Chickz's specific plans for utilizing the Brand Fund to support website development and other technology initiatives.