Does Bhc have plans to sell goods or services to any advertising cooperative?

According to Bhc's 2025 Franchise Disclosure Document, Bhc does not have any current plans to sell goods or services to any advertising cooperative. However, Bhc retains the right to establish advertising cooperatives comprised of groups of franchisees within designated regions or areas, and may modify the boundaries of these groups with written notice.

If Bhc establishes advertising cooperatives, franchisees are obligated to participate in any cooperative that encompasses their territory. The members of each cooperative will create governing rules and voting procedures and determine procedures for assessing members. Bhc has the right to attend any meetings and approve these rules, procedures, and any amendments. If any of Bhc's affiliates owns a Bhc Restaurant within a cooperative's boundaries, it will contribute to the cooperative at the lowest percentage contribution rate paid by any Bhc franchisee in the same cooperative and will have the same voting rights as franchisee members.

Bhc may require a cooperative to merge with another cooperative servicing an adjacent or proximate area, or to subdivide a cooperative into smaller groupings. Bhc may dissolve a cooperative when it simultaneously dissolves all advertising cooperatives, potentially centralizing all group advertising activities under the Marketing and Promotion Fee. Advertising cooperatives must prepare quarterly and annual financial statements, which need not be audited, and make them available to all cooperative members and Bhc.