Does Bhc require approval of advertising materials developed by franchisees?
Bhc Franchise · 2025 FDDAnswer from 2025 FDD Document
You may develop advertising materials for your Affiliate Franchisee's and Subfranchisees' use, at your own cost.
But we must approve all advertising materials in advance and in writing.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, And Training (FDD pages 29–38)
What This Means (2025 FDD)
According to Bhc's 2025 Franchise Disclosure Document, franchisees are permitted to develop their own advertising materials, but Bhc requires advance written approval of all such materials. This applies to advertising materials developed for use by the franchisee's Affiliate Franchisees and Subfranchisees. This requirement ensures that all advertising aligns with Bhc's brand standards and marketing strategies.
Bhc also maintains control over the franchisee's online presence. Franchisees, their Affiliate Franchisees, and Subfranchisees are restricted from creating their own websites or advertising on the internet using the Bhc name or marks without explicit permission. Similarly, the use of social media for promoting a Master Franchised Bhc Restaurant or using Bhc's marks requires prior written consent from Bhc. Bhc retains control over all social media initiatives and may conduct collective/national campaigns via local social media on the franchisee's behalf.
In addition to these restrictions, Bhc may require franchisees, Affiliate Franchisees, and Subfranchisees to spend at least 1% of their annual Gross Revenue on local advertising and promotion, using only marketing and promotional materials that Bhc has pre-approved or authorized in writing. Franchisees must also submit a Local Advertising plan detailing their advertising activities for the next 12-month period for Bhc's approval. This ensures that local advertising efforts are aligned with Bhc's overall marketing strategy and brand image.
These stipulations are typical in franchising, as they allow Bhc to maintain brand consistency and control over marketing messages. However, prospective franchisees should consider the potential limitations on their creative freedom and the additional costs associated with adhering to Bhc's advertising guidelines.