What happens to the monies in the Bb.Q Chicken Brand Development Fund if it is terminated?
Bb_Q_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
Although the Brand Development Fund is intended to be of perpetual duration, we may terminate the Brand Development Fund.
The Brand Development Fund shall not be terminated, however, until all monies in the Brand Development Fund have been expended for advertising or promotional purposes or returned to contributing Franchised Businesses or those operated by us, without interest, on the basis of their respective contributions.
- 8.3.5 If we elect to terminate the Brand Development Fund, we may, in our sole discretion, reinstate the Brand Development Fund at any time.
Source: Item 23 — RECEIPTS (FDD pages 62–283)
What This Means (2025 FDD)
According to the 2025 Bb.Q Chicken Franchise Disclosure Document, although the Brand Development Fund is intended to be of perpetual duration, Bb.Q Chicken may terminate it. However, the Brand Development Fund shall not be terminated until all monies in the Brand Development Fund have been expended for advertising or promotional purposes.
Alternatively, the remaining monies can be returned to contributing Franchised Businesses or those operated by Bb.Q Chicken, without interest, on the basis of their respective contributions. This means that if the fund is terminated, franchisees could potentially receive a portion of their contributions back, proportional to what they paid in, but without any interest accrued.
Bb.Q Chicken also retains the right to reinstate the Brand Development Fund at any time, should they elect to terminate it. If reinstated, the fund will operate as described in the FDD. This provides Bb.Q Chicken with the flexibility to adjust its marketing and advertising strategies as needed.