What is the definition of 'Brand Fund' for Big Blue Swim School?
Big_Blue_Swim_School Franchise · 2025 FDDAnswer from 2025 FDD Document
We have established a fund ("Brand Fund" or "Fund") for advertising, marketing, research and development, public relations, Social-Media management, lead-generation, and
customer-relationship management programs, materials, and activities, the purpose of which is to enhance, promote, and protect the BIG BLUE Swim School brand and Franchise System. You agree to contribute to the Brand Fund on or before the applicable Payment Day the amounts we periodically specify, not to exceed three percent (3%) of the School's Gross Revenue during the preceding applicable Calculation Period.
Source: Item 22 — CONTRACTS (FDD pages 75–76)
What This Means (2025 FDD)
According to Big Blue Swim School's 2025 Franchise Disclosure Document, the Brand Fund, also referred to as the Fund, is established for advertising, marketing, research and development, public relations, Social-Media management, lead-generation, and customer-relationship management programs, materials, and activities. The primary goal of this fund is to enhance, promote, and protect the Big Blue Swim School brand and Franchise System. Franchisees are required to contribute to the Brand Fund, with contributions not exceeding three percent (3%) of the School's Gross Revenue during the preceding Calculation Period, payable on or before the specified Payment Day.
The Brand Fund is intended to maximize recognition of the Marks and increase patronage of Big Blue Swim Schools. Big Blue Swim School has sole control over the creative and business aspects of the Fund's activities and directs all programs financed by the Brand Fund. These programs may include preparing and placing various marketing materials, managing System Websites, administering marketing programs, supporting franchisees' local market introduction programs, establishing promotions and partnerships, and supporting public relations and market research. The Brand Fund may also provide franchisees with sample marketing materials at no cost, while additional copies can be purchased at the direct cost of production plus related charges.
Big Blue Swim School aims to use the Brand Fund to benefit all Big Blue Swim Schools, but it is not obligated to ensure that expenditures in any specific geographic area are proportionate to the contributions from schools in that area. The Brand Fund will not be used primarily to solicit franchisees, though materials may reference the franchise program. Big Blue Swim School has the right to collect unpaid contributions at the Brand Fund's expense and may defer, reduce, or suspend contributions at any time with proper notice. If the Brand Fund is terminated, the remaining balance will either be spent on permitted programs or distributed to franchisees and affiliates in proportion to their contributions over the preceding twelve-month period.