Does the Bang Cookies FDD require me to advertise open positions?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
sor, in Franchisor's discretion and Reasonable Business Judgment, may require that the deficiency be added as additional local marketing expenditures, over and above 2% of Franchisee's Gross Sales, that Franchisee must spend within the immediately succeeding quarterly period or periods, as directed by Franchisor, or, at Franchisor's discretion, be contributed to a Brand Development Fund. All marketing of the Franchised Business by Franchisee must be pre-approved, in writing by Franchisor.
Franchisor reserves the right to reject any and all marketing efforts requested by Franchisee and to prescribe all marketing, marketing media, marketing channels, promotions, copy, creative, and messaging that Franchisee may or may not use in Franchisee's marketing of the Franchised Business. Franchisee further agrees that:
- (1) In addition to calendar year quarterly reports, Franchisee shall provide Franchisor with monthly reports documenting Franchisee's marketing initiatives, expenses incurred, placements secured, and other metrics and financial information as designated by Franchisor;
- (2) Prior to opening the Franchised Business, Franchisee shall submit to Franchisor, Franchisee's grand opening marketing plan for review and approval by Franchisor. Franchisee shall use only those portions of its grand opening marketing that are pre-approved by Franchisor and consistent with Franchisor's standards and specifications. Not less than 30 days prior to the opening of the Franchised Business, Franchisee shall spend not less than $10,000 to market and promote the grand opening of the Franchised Business in accordance with Franchisor's standards and specifications;
- (3) At all times, Franchisee's marketing efforts and the distribution of each marketing channel and media engaged by Franchisee must be directly targeted to Franchisee's Designated Territory. Franchisee shall not direct or target Franchisee's marketing efforts with the purpose or effect of soliciting or attracting customers outside of Franchisee's Designated Territory. To the extent that Franchisee's marketing efforts involve a marketing medium or distribution channel that is targeted to Franchisee's Designated Territory but reaches outside of and beyond Franc
Source: Item 23 — RECEIPTS (FDD pages 56–245)
What This Means (2024 FDD)
The 2024 Bang Cookies Franchise Disclosure Document does not explicitly state that franchisees are required to advertise open positions. However, the FDD does state that franchisees must adhere to marketing requirements set by the franchisor. Specifically, the franchisee must get approval from Bang Cookies for all marketing efforts.
Bang Cookies retains control over marketing efforts, mandating that franchisees obtain prior approval for all marketing plans. This includes the grand opening marketing plan, for which franchisees must spend a minimum of $10,000 to market and promote the grand opening of the Franchised Business not less than 30 days prior to opening. The franchisor also has the right to use the franchisee's name, address, photograph, and biographical information in any publication related to the Bang Cookies system, without compensating the franchisee.
While the FDD does not directly address advertising for open positions, it's possible that Bang Cookies could include such a requirement within its broader marketing guidelines. A prospective franchisee should clarify with the franchisor whether they are expected to advertise open positions and if so, what specific requirements or guidelines they must follow.