factual

How often will Buona franchisees contribute to the Marketing Fund?

Buona Franchise · 2025 FDD

Answer from 2025 FDD Document

Once established, we will administer a system-wide brand marketing fund ("Marketing Fund"). You will contribute to the Marketing Fund as described in Item 6. All franchisees will contribute to the Marketing Fund on the same basis. Restaurants owned by our affiliate do not contribute to the Marketing Fund.

In addition to your contribution to the Marketing Fund, beginning on the date of opening of your Buona Business, you must spend a minimum of 1% of the Gross Sales during each period of the fiscal year on local advertising, marketing and promotion. You will make these expenditures directly, subject to our approval and direction. At our request, you must furnish to us in a manner approved by us an accurate accounting of your local advertising and marketing expenditures for each calendar quarter.

Starting 60 days prior to the opening of the Buona Business and continuing through the first 90 days of operation, you must conduct an advertising campaign announcing the grand opening of your Buona Business. You must spend a minimum of $20,000 on grand opening advertising and marketing. Grand opening monies will be spent on social media, print, radio, digital advertising and/or other advertising or promotions that you and we agree is best suited for your grand opening campaign.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 37–46)

What This Means (2025 FDD)

According to Buona's 2025 Franchise Disclosure Document, franchisees will contribute to the Marketing Fund as detailed in Item 6 of the FDD. All Buona franchisees contribute to the Marketing Fund on the same basis. However, restaurants owned by Buona's affiliate are exempt from contributing to the Marketing Fund.

In addition to contributing to the Marketing Fund, franchisees must spend a minimum of 1% of Gross Sales during each fiscal year period on local advertising, marketing, and promotion, beginning on the date of opening their Buona Business. These expenditures are made directly by the franchisee, but are subject to Buona's approval and direction. Franchisees must also provide an accurate accounting of their local advertising and marketing expenditures for each calendar quarter upon Buona's request.

Prior to opening, franchisees are also required to conduct an advertising campaign announcing the grand opening of their Buona Business, starting 60 days before opening and continuing through the first 90 days of operation. A minimum of $20,000 must be spent on grand opening advertising and marketing, focusing on social media, print, radio, and digital advertising, or other promotions agreed upon by the franchisee and Buona.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.