Is Bang Cookies required to ensure that all franchisees benefit from technology developments and improvements funded by the Brand Development Fund?
Bang_Cookies Franchise · 2024 FDDAnswer from 2024 FDD Document
We may use the Brand Development Fund to develop and test various media and technologies for potential use and/or improvement of the operations of Shops and the marketing of Shops.
These technology developments and/or improvements may relate, among other things, to our website and to the interaction and potential enhancement of web offerings that may or may not be implemented on behalf of Shops.
You may or may not benefit from these technology developments and improvements.
The Brand Development Fund will be uniformly imposed upon all franchisees. (Franchise Agreement, Article 9.A.).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 29–36)
What This Means (2024 FDD)
According to Bang Cookies's 2024 Franchise Disclosure Document, franchisees may or may not benefit from technology developments and improvements funded by the Brand Development Fund. Bang Cookies may use the Brand Development Fund to develop and test various media and technologies for potential use and/or improvement of the operations of Shops and the marketing of Shops. These technology developments and/or improvements may relate to the Bang Cookies website and to the interaction and potential enhancement of web offerings that may or may not be implemented on behalf of Shops.
Bang Cookies franchisees contribute a weekly sum not to exceed 2% of weekly Gross Sales to the Brand Development Fund, as disclosed in Item 6. The Brand Development Fund can be used for various purposes, including market studies, research, service development, product development, testing, research studies, technology development, advertising and public relations studies or services, creative production and printing of advertising and marketing materials, advertising copy and commercials, tracking costs, agency fees, and administrative costs.
Bang Cookies is not required to segregate the Brand Development Fund from its general operating funds and is not a fiduciary or trustee of the Brand Development Fund. The Brand Development Fund will not be used to directly promote a franchisee's Shop or the marketing area in which their Shop is located. The Brand Development Fund will be uniformly imposed upon all franchisees.