Under what condition must a Bonchon Participating Franchisee provide Pepsi-Cola with documentation?
Bonchon Franchise · 2025 FDDAnswer from 2025 FDD Document
Participating Franchisee will participate in at least two (2) Pepsi-Cola mutually agreed upon marketing programs per Year. The programs will be for the benefit of Participating Franchisee's system and Pepsi-Cola, and Participating Franchisee will use the funds available to Participating Franchisee under this Agreement to help offset the advertising and promotion costs of such programs. Upon Pepsi-Cola's request, Participating Franchisee agrees to provide Pepsi-Cola with reasonable documentation substantiating Participating Franchisee's compliance with the foregoing.
Source: Item 23 — RECEIPTS (FDD pages 92–536)
What This Means (2025 FDD)
According to Bonchon's 2025 Franchise Disclosure Document, a Participating Franchisee must provide Pepsi-Cola with reasonable documentation substantiating the franchisee's compliance with marketing programs. Specifically, Bonchon franchisees are required to participate in at least two mutually agreed upon marketing programs with Pepsi-Cola each year. These programs are designed to benefit both the franchisee's system and Pepsi-Cola.
The funds available to the Bonchon franchisee under the Participating Franchisee Agreement are to be used to help offset the advertising and promotion costs associated with these marketing programs. This means franchisees should budget and allocate these funds accordingly to ensure participation and compliance.
Upon Pepsi-Cola's request, the franchisee must provide documentation to prove they are meeting the requirements of these marketing programs. This documentation serves as verification that the franchisee is actively participating and utilizing the allocated funds as intended. This requirement ensures accountability and helps maintain the integrity of the marketing partnership between Bonchon franchisees and Pepsi-Cola.