How will the contributions to the Black Bear Diner Marketing and Advertising Fund be made?
Black_Bear_Diner Franchise · 2025 FDDAnswer from 2025 FDD Document
Marketing Fund. We have implemented and administer the Black Bear Diner Marketing and Advertising Fund (the "Fund"). You are required to contribute, each week, an amount equal to 1% of your Gross Sales. We may increase the amount of your contribution upon 30 days' notice to you. We will not increase your required contribution to more than 3% per week. Your contribution will be made at the same time and in the same manner as the Royalty Fee. We will maintain and administer the Fund in our sole discretion as follows:
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 28–35)
What This Means (2025 FDD)
According to Black Bear Diner's 2025 Franchise Disclosure Document, franchisees are required to contribute to the Marketing and Advertising Fund weekly. The contribution is equivalent to 1% of the restaurant's Gross Sales. These contributions are remitted at the same time and in the same manner as the Royalty Fee.
Black Bear Diner retains the right to increase the contribution amount, but must provide franchisees with 30 days' notice before doing so. The maximum contribution amount that Black Bear Diner can require is 3% of Gross Sales per week.
The Marketing and Advertising Fund is used for national and regional marketing activities to promote the Black Bear Diner system. These activities include television, radio, magazine, newsprint, billboard, and digital/internet advertising campaigns. The fund may also cover related business purposes, such as employing advertising agencies. Black Bear Diner may charge the fund fees at reasonable market rates for administrative or marketing services.