What is the purpose of the 'Brand Fund' for Benjamin Franklin Plumbing franchisees?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
You are required to contribute to the Brand Fund as provided in Section 7.3.
The purpose of the Brand Fund is to support general recognition of the Franchised Businesses and the Brand.
The Brand Fund will operate as follows:
- 10.2.1 We will have the right to direct all advertising, marketing, public relations, and other activities to promote, develop and enhance the Brand, with final discretion over strategic direction, creative concepts, the materials and endorsements to be used, and the geographic market and media placement.
We may use the Brand Fund to pay costs and expenses as we determine in our sole discretion, including but not limited to: production of video, audio, written, online and mobile marketing materials; purchasing promotional items; sponsorship of sporting, charitable, or similar events; design, establishment, and maintenance of websites, social media, mobile applications and other electronic marketing; implementation of advertising programs, in-store promotions, direct mail, and media advertising; marketing and sales training; employing advertising agencies; conducting public relations, consumer research, product development, product testing, and test marketing programs; developing and implementing trade dress and design prototypes; fulfillment charges; salaries and expenses of employees of Franchisor and affiliates working for or on behalf of the Brand Fund; fees of accounting firms, design firms, public relations firms, consultants and ad agencies; legal fees for advertising preclearance, defense of false advertising claims, and defense of any claims made regarding our administration of the Brand Fund; other administrative costs and overhead incurred in activities related to the administration and activities of the Brand Fund; and interest on any monies borrowed by the Brand Fund.
- 10.2.2 We will make available to you any creative materials financed by the Brand Fund.
If you request specific materials to be produced or customized for you, then once you approve the requested materials, you agree to pay or to reimburse us for any costs to reproduce the materials and/or to customize the materials for your use.
- 10.2.3 We may seek the advice of franchisees by formal or informal means with respect to the creative concepts and media used for programs financed by the Brand Fund.
We retain final authority on all programs financed by the Brand Fund.
We have the right to incorporate, replace, change or dissolve the Brand Fund.
Source: Item 23 — RECEIPTS (FDD pages 88–312)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the Brand Fund exists to support general recognition of the franchised businesses and the brand itself. Benjamin Franklin Plumbing has the right to direct all advertising, marketing, public relations, and other activities to promote, develop, and enhance the brand, maintaining final discretion over strategic direction, creative concepts, materials, endorsements, geographic markets, and media placement.
The Brand Fund can be used to cover a wide array of costs and expenses, including the production of marketing materials (video, audio, written, online, and mobile), purchasing promotional items, sponsoring events, designing and maintaining websites and social media, implementing advertising programs, providing marketing and sales training, employing agencies, conducting public relations, consumer research, product development, and covering administrative costs.
Benjamin Franklin Plumbing will make available any creative materials financed by the Brand Fund to franchisees. Franchisees can request specific materials to be produced or customized, but they are responsible for covering the reproduction and customization costs. While Benjamin Franklin Plumbing may seek advice from franchisees regarding creative concepts and media, they retain the final authority on all programs financed by the Brand Fund.
It's important to note that Benjamin Franklin Plumbing is not obligated to ensure that expenditures from the Brand Fund benefit each franchisee directly or proportionally to their contributions. Franchisees cannot reduce or withhold contributions based on a perceived lack of benefit or another franchisee's failure to contribute. Benjamin Franklin Plumbing has the right to incorporate, replace, change, or dissolve the Brand Fund.