If a Bhc affiliate owns a restaurant within a cooperative's boundaries, what contribution rate will it pay?

According to Bhc's 2025 Franchise Disclosure Document, if a Bhc affiliate owns a restaurant within the boundaries of an advertising cooperative, it will contribute to the cooperative at the lowest percentage contribution rate that any Bhc franchisee in the same cooperative pays. The affiliate will also have the same voting rights as franchisee members.

This means that Bhc affiliates operating within a cooperative area will not be subject to higher contribution rates than other franchisees in that cooperative. This ensures fair treatment and equal voting rights within the cooperative, regardless of whether the restaurant is directly franchised or affiliate-owned.

For a prospective franchisee, this clause provides some assurance that advertising costs within a cooperative will be equitable. It prevents Bhc from placing its own affiliates at a disadvantage or advantage compared to independently owned franchises within the same advertising region. Franchisees should still carefully examine the cooperative's governing rules and voting procedures to fully understand how these contributions are managed and how decisions are made.