factual

Can Body20 use Brand Fund monies for reasonable administrative costs and overhead related to the administration of the Brand Fund?

Body20 Franchise · 2025 FDD

Answer from 2025 FDD Document

tenance, and optimization of the System Website or other websites; (iii) keyword or adword purchasing programs; (iv) conducting and managing social media activities; (v) direct mail advertising; (vi)

market research, including secret shoppers and customer satisfaction surveys; (vii) branding studies; (viii) engaging advertising and/or public relations agencies and paying any related retainers and fees; (ix) paying the salaries and benefits of our marketing and brand-building personnel and any other overhead related to our marketing department; (x) purchasing promotional items; (xi) conducting and administering promotions, contests, giveaways, public relations events, and community involvement activities; (xii) marketing the sale of Franchises; (xiii) providing promotional and other marketing materials and services to our franchisees; and (xiv) reasonable administrative costs and overhead we incur related to the administration of the Brand Fund and the implementation of Brand Fund-supported programs.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 38–49)

What This Means (2025 FDD)

According to Body20's 2025 Franchise Disclosure Document, Body20 can use monies from the Brand Fund for reasonable administrative costs and overhead related to administering the Brand Fund. The Brand Fund is used for advertising, marketing, and promotional programs.

Specifically, Body20 details that the Brand Fund can be used for activities including, but not limited to, market research, branding studies, engaging advertising agencies, paying salaries and benefits of marketing personnel, purchasing promotional items, conducting promotions, marketing the sale of franchises, providing marketing materials to franchisees, and covering reasonable administrative costs and overhead related to the Brand Fund's administration.

In 2024, the Brand Fund expenditures were allocated with 61.46% going to production, 18.5% to administrative expenses, and 20.04% to media placement. This shows that Body20 has previously used the Brand Fund for administrative expenses.

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.