What is the deadline for Aw to distribute unspent amounts in the Marketing Fund after discontinuance?
Aw Franchise · 2025 FDDAnswer from 2025 FDD Document
In the event we discontinue the Marketing Fund, we will distribute all unspent amounts existing in the Marketing Fund on the date of discontinuance to franchisees in proportion to their respective contributions for the most recent six (6) months.
Source: Item 22 — CONTRACTS (FDD pages 39–40)
What This Means (2025 FDD)
According to Aw's 2025 Franchise Disclosure Document, if Aw discontinues the Marketing Fund, it will distribute any unspent amounts to franchisees. This distribution will be in proportion to each franchisee's contributions to the Marketing Fund over the most recent six months. The distribution will occur on the date the Marketing Fund is discontinued.
This means that if Aw decides to end the Marketing Fund, franchisees can expect to receive a portion of the remaining funds. The amount they receive will depend on how much they have contributed to the fund relative to other franchisees over the previous six months. This ensures that those who have contributed more recently will receive a larger share of the remaining funds.
It is important for prospective franchisees to understand that Aw has the right to discontinue or reestablish the Marketing Fund with sixty days' notice. While the FDD specifies how unspent funds will be distributed, it does not guarantee the continuation of the Marketing Fund itself. Franchisees should factor this possibility into their financial planning and consider how changes to the Marketing Fund could impact their business.