What is the minimum and maximum amount a Bhc Master Franchisee must spend on the initial opening advertising and promotion event?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
case the Marketing and Promotion Fees are due and payable on the next business day). Marketing and Promotion Fees will be calculated on the Gross Revenues received during the monthly periods ending on the last day of each month.
- (c) During the 60 days after the Opening Date, Master Franchisee must spend in Master Franchisee's Territory at least $10,000 to $15,000 on the initial opening advertising and promotion event of Master Franchised BHC Restaurant, using the grand opening advertising and promotional program that Franchisor approves, including the "soft opening" to be held on or about the Opening Date and the grand opening event.
Source: Item 23 — Receipts (FDD pages 52–230)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, a Master Franchisee is required to spend a minimum of $10,000 and a maximum of $15,000 on the initial opening advertising and promotion event for their BHC restaurant. This expenditure must occur within the first 60 days following the restaurant's opening date.
The advertising and promotional activities must align with a grand opening program approved by Bhc, encompassing both a "soft opening" around the opening date and a grand opening event. This ensures that the marketing efforts are consistent with the brand's standards and objectives.
Within 75 days after the opening date, the Master Franchisee must submit a report to Bhc, detailing all expenditures related to the grand opening advertising and promotion. This report allows Bhc to monitor compliance with the required spending and assess the effectiveness of the promotional activities. If the Master Franchisee fails to meet the minimum spending requirement, they will be required to add the shortage toward the Marketing and Promotion Fee.