Can Bombs Away Franchising accumulate funds in the Marketing Fund?

According to Bombs Away's 2024 Franchise Disclosure Document, Bombs Away Franchising has the ability to accumulate funds within the Marketing Fund. The FDD specifies that any surplus in the Marketing Fund can be carried over to subsequent years, giving Bombs Away flexibility in managing marketing expenditures. Additionally, if the Marketing Fund experiences a deficit or requires extra funds, Bombs Away Franchising has the option to loan funds to the Marketing Fund under reasonable terms.

This policy allows Bombs Away to strategically plan and execute marketing campaigns, even if there are fluctuations in franchisee contributions or unexpected marketing opportunities arise. By accumulating funds, Bombs Away can invest in larger, more impactful marketing initiatives that may require a longer-term financial commitment. The ability to loan funds to the Marketing Fund ensures that marketing efforts can continue uninterrupted, even during periods of financial constraint.

It's important for prospective Bombs Away franchisees to understand that while the Marketing Fund is intended for the benefit of the entire franchise system, Bombs Away has significant discretion over how the funds are spent. Franchisees should review the annual financial statement of the Marketing Fund, which Bombs Away will provide upon request within 120 days of the close of Bombs Away's fiscal year, to understand how the funds are being managed and allocated.