factual

Does a Bigfoot Forestry franchisee have any control over the amount of the Brand Fund Fee?

Bigfoot_Forestry Franchise · 2025 FDD

Answer from 2025 FDD Document

| Brand Fund Fee | Up to 3% of Gross Sales (currently 1% of Gross Sales) | Same as royalty fee | We deposit this fee into a Brand Fund. You have no voting rights pertaining to the administration of the Brand Fund, the creation or placement of advertising, or the amount of the brand fund fee. | | | TYPE OF FEE 1 | 2, 3 AMOUNT | DUE DATE | | REMARKS |

  • "Brand Fund" means the brand and system development fund that we currently administer to promote public recognition of our brand and improve our System.

  • "Gross Sales" means all gross sums you bill or collect from all goods and services you sell, plus all other sums you collect from the operation of your Business, including any advertising revenues, sponsorship fees and business interruption insurance proceeds.

Gross Sales excludes: (a) sales or use taxes; (b) customer refunds; and (c) revenues from the sale of equipment in the ordinary course of business.

Source: Item 6 — OTHER FEES (FDD pages 12–15)

What This Means (2025 FDD)

According to the 2025 Bigfoot Forestry Franchise Disclosure Document, franchisees have no voting rights pertaining to the amount of the Brand Fund fee. The Brand Fund fee is used by Bigfoot Forestry to promote public recognition of their brand and improve their system.

The Brand Fund fee is up to 3% of Gross Sales, but is currently 1% of Gross Sales. This fee is due on the same day as the royalty fee. Gross Sales includes all gross sums billed or collected from all goods and services sold, plus all other sums collected from the operation of the Business, including any advertising revenues, sponsorship fees and business interruption insurance proceeds. Gross Sales excludes sales or use taxes, customer refunds, and revenues from the sale of equipment in the ordinary course of business.

Franchisees should be aware that while the Brand Fund fee is currently set at 1% of Gross Sales, Bigfoot Forestry has the right to increase it up to 3%. This could significantly impact a franchisee's profitability, especially if their Gross Sales are high. It is important to factor in the potential for this increase when evaluating the financial viability of a Bigfoot Forestry franchise.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.