Does Bhc currently have an advertising council of Master Franchisees that advises on advertising and promotional programs or policies?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
At this time, there is no advertising council of Master Franchisees that advises us regarding advertising and promotional programs or policies for BHC Restaurants generally. Franchisor does not currently require Master Franchisees to participate in a local or regional advertising cooperative. No local or regional advertising cooperative exists in Franchisor's system at this time.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, there is currently no advertising council of Master Franchisees that advises Bhc regarding advertising and promotional programs or policies. Bhc also does not require Master Franchisees to participate in a local or regional advertising cooperative, and no such cooperative exists within the Bhc system at this time. This means that individual franchisees do not have a formal mechanism to collectively influence the brand's advertising strategies.
While there isn't a formal advertising council, Bhc does outline specific marketing and advertising obligations for franchisees. Master Franchisees are required to spend at least 1% of their annual gross revenues on local marketing, advertising, and promotion, using materials pre-approved by Bhc. Franchisees must also submit a local advertising plan to Bhc for approval, detailing their marketing activities for the upcoming 12-month period.
Bhc retains significant control over advertising content, media, and timing, especially for regional or system-wide campaigns. However, franchisees can be subject to additional assessments for special advertising or promotional activities if two-thirds of all affected franchised Bhc restaurants agree by affirmative vote. Franchisees are also obligated to participate in any gift card, customer loyalty, and other promotional programs that Bhc arranges or requires.
The absence of an advertising council means that individual franchisees may have limited direct input on the broader advertising and promotional strategies of Bhc. However, the requirement to develop and execute local advertising plans, along with the potential for regional assessments approved by a majority of franchisees, provides some level of influence and participation in marketing efforts.