Are Bonchon Businesses operated by Bonchon or its affiliates required to contribute to the Advertising Cooperative in the area in which they are located?

According to Bonchon's 2025 Franchise Disclosure Document, Bonchon Businesses operated by Bonchon or its affiliates are not required to contribute to the Advertising Cooperative in the area in which they are located. The document states that Bonchon Businesses which Bonchon or its affiliates have or may in the future establish and operate may, but are not required to, contribute to the Advertising Cooperative in the area in which the Bonchon Businesses are located.

This means that while franchisees are generally required to contribute to the Advertising Cooperative if one is established for their region, Bonchon itself has the option, but not the obligation, to contribute for any company-owned stores. This could potentially create a situation where franchisee-owned locations are subsidizing advertising efforts that also benefit company-owned stores in the same region.

For a prospective franchisee, this highlights the importance of understanding the balance between franchised and company-owned locations in their area. It would be prudent to inquire about the historical and projected contributions of company-owned stores to the Advertising Cooperative to assess the potential impact on the cooperative's financial resources and advertising strategies.