To whom is the Bor Restoration National Branding Fee payable?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| National Branding Fee | Currently, none. | Payable with Royalty. | We may, in the future, collect a percentage of your Gross Sales or a fixed dollar figure to fund national branding events and social media advertising materials. We will give you no less than 60 days prior written notice before implementing this fee or, once implemented, before changing this fee. Payable to us. |
| Regional Advertising Cooperative Fee | Currently, none. If a Regional Advertising Program is established, you may be required to contribute a specified part of your Local Advertising Fee and National Branding Fee. | Payable with Royalty. | Payable to the cooperative. We have not determined any formula for calculating the percentage of your Local Advertising Fee that would be paid to the cooperative. (Item 11). |
Source: Item 6 — Other Fees (FDD pages 10–15)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the National Branding Fee, if implemented in the future, is payable to the franchisor. Currently, there is no National Branding Fee. However, Bor Restoration retains the right to introduce this fee, which would be used to fund national branding events and social media advertising materials.
If Bor Restoration decides to implement the National Branding Fee, franchisees will receive at least 60 days' prior written notice before the fee takes effect or before any changes are made to it. The fee may be a percentage of the franchisee's Gross Sales or a fixed dollar amount.
It's important to note that if a Regional Advertising Program is established, franchisees may be required to contribute a portion of their Local Advertising Fee and the National Branding Fee to a Regional Advertising Cooperative. In that case, the portion of the National Branding Fee would be payable to the cooperative instead of directly to Bor Restoration.