Who makes the decisions regarding the content of B Bops advertising?
B_Bops Franchise · 2025 FDDAnswer from 2025 FDD Document
If and when the Company determines to invoke payment of the advertising fee by you and other franchisees, such fees will be deposited by the Company into a special fund to be administered by the Company and used to finance the development and production of advertising for the B-Bop's Restaurant system. The Company will thereafter be responsible for developing and producing advertising materials to be made available to you and other franchisees for dissemination at your own expense as part of the independent advertising expenditure requirement. All decisions regarding the content, concepts, materials and media utilized in such advertising will be made by the Company in its sole discretion. It is currently anticipated that advertising will be developed for dissemination over radio and television and through print. Since you will be responsible for the expense of disseminating the advertising (including all
media, printing and mailing expenses), the coverage of the advertising presumably will be local in nature to directly benefit your Franchise. It is anticipated that the B-Bop's Restaurants owned by B-Bop's will also be required to contribute to the advertising fund on the same basis and at the same rate as you and the other franchisees. Your contributions to the fund will be on the same basis and at the same rate as all other franchisees currently acquiring a Franchise from the Company. It is not contemplated that the fund will be audited on an annual basis, although the Company does anticipate that an annual report concerning receipts and expenditures by the fund will be provided to you and all other franchisees. It is not currently anticipated that the Company or any affiliate will receive any payment for providing goods or services to the advertising fund. No decisions have been made by the Company concerning the party or parties who will be responsible for developing and producing the advertising.
If and when the Company determines to invoice payment of the advertising fee by you and the other franchisees, the Company will not use any portion of those fees to solicit new franchise sales.
The Company has not established an advertising council of franchisees that advises the Company on advertising policies. The Company also has not established any local or regional advertising cooperative in which you and other franchisees are required to participate.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 25–33)
What This Means (2025 FDD)
According to B Bops' 2025 Franchise Disclosure Document, the company has sole discretion over advertising content. Specifically, B Bops is responsible for developing and producing advertising materials for the B-Bop's Restaurant system. These materials are then made available to franchisees for dissemination at their own expense.
This means that while franchisees are required to pay an advertising fee equal to 3% of gross sales, B Bops retains full control over the creative direction, concepts, materials, and media channels used in advertising campaigns. The FDD mentions that advertising may be disseminated over radio, television, and through print media. Franchisees are responsible for the costs of disseminating the advertising, including media, printing, and mailing expenses.
B Bops does not have an advertising council of franchisees that advises the company on advertising policies, nor does it have any local or regional advertising cooperatives in which franchisees are required to participate. The company anticipates providing an annual report concerning receipts and expenditures by the advertising fund to franchisees, but it is not contemplated that the fund will be audited annually. This arrangement gives B Bops significant control over the brand's image and marketing strategies, while franchisees primarily bear the local dissemination costs.