What are the permissible uses of the contributions made to the Bojangles Marketing Development Fund?
Bojangles Franchise · 2025 FDDAnswer from 2025 FDD Document
average
per Restaurant contribution multiplied by Franchisor's total number of company-owned Restaurants; and
- (3) All contributions to the Fund shall be used exclusively for advertising and promotion of the Bojangles System (including, without limitation, the cost of preparing and conducting television, radio, video, digital, print, and billboard advertising campaigns and other public relations activities; conducting research; employing advertising agencies and other specialists to assist therein; and preparing and providing promotional brochures and other point of purchase marketing materials to franchisees in the Bojangles System). All sums paid by Franchisee and other franchisees to the Fund shall not be used to defray any of Franchisor's general operating expenses except for such reasonable administrative expenses and overhead, if any, as Franchisor may incur in activities reasonably related to the administration or direction of the Fund and advertising programs, including, without limitation, conducting market research, preparing marketing and advertising materials, and collecting and accounting for assessments for the Fund.
- F. All advertising by Franchisee in any medium shall be conducted in a dignified manner and shall conform to such standards and requirements as Franchisor may specify from time to time in writing. Franchisee shall submit to Franchisor (through the mail, return receipt requested, electronic mail if the sender has confirmation of a successful transmission or through next business day delivery), for its prior written approval, samples of all advertising and promotional plans and materials that Franchisee desires to use and that have not been prepared or previously approved by Franchisor.
Source: Item 23 — RECEIPTS (FDD pages 82–573)
What This Means (2025 FDD)
According to Bojangles's 2025 Franchise Disclosure Document, contributions to the Marketing Development Fund must be used exclusively for advertising and promotion of the Bojangles system. This includes the costs associated with preparing and conducting various advertising campaigns such as television, radio, video, digital, print, and billboard ads. The fund also covers public relations activities, conducting research, employing advertising agencies and specialists, and preparing promotional materials for franchisees.
The funds cannot be used to cover Bojangles's general operating expenses. However, the brand can use the funds for reasonable administrative expenses and overhead that are directly related to the administration and direction of the fund and advertising programs. These activities include conducting market research, preparing marketing and advertising materials, and managing the collection and accounting of assessments for the Fund.
Bojangles also clarifies that there is no obligation to ensure that expenditures from the fund are equivalent or proportionate to a franchisee's contribution, nor is there a guarantee that any franchisee will directly or pro rata benefit from the fund's expenditures. This means that while franchisees contribute to the fund, the benefits they receive may not directly correlate with the amount they contribute, as the fund is intended to maximize general public recognition and acceptance of the Bojangles system for the benefit of the entire system.