When are the Bft Brand Development Fund Contributions due?
Bft Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Contributions to Brand Development Fund 2 | Currently, 2% of Gross Sales 1 | Payable weekly around the same time and in the same manner as the Royalty | Your contributions (the “Fund Contributions”) to the Brand Development Fund (the “Fund”) will begin when your Studio begins generating revenue from operations. We may, on notice to you, adjust the amount of your required Fund Contributions, subject to the Marketing Expenditure Cap. 3 |
Source: Item 6 — OTHER FEES (FDD pages 21–26)
What This Means (2025 FDD)
According to Bft's 2025 Franchise Disclosure Document, franchisees are required to make weekly contributions to the Brand Development Fund. These contributions, which are currently set at 2% of gross sales, are payable weekly around the same time and in the same manner as the royalty fees. This means the Brand Development Fund contributions are collected via electronic funds transfer (EFT).
The FDD specifies that these fund contributions begin when the Bft studio starts generating revenue from operations. The purpose of the Brand Development Fund is to support various marketing and development activities, including product development, advertising, public relations, and other promotional efforts. Bft retains sole discretion over all matters related to the fund.
It's important to note that Bft may adjust the amount of the required fund contributions with notice to the franchisee, but these contributions are subject to a Marketing Expenditure Cap. The Marketing Expenditure Cap limits the total percentage of gross sales that Bft can require franchisees to contribute to the fund, a Regional or Local Advertising Co-Op, and spend on local advertising. This total cannot exceed 7% per month. Franchisees must provide written notice to Bft if the required marketing expenses exceed this cap. Until Bft receives this notice, franchisees must continue to comply with the required marketing contributions.