What discretion does Burneys Sweets More have regarding advertising for the franchise?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
We may make available to you from time to time advertising materials we prepare for use by BURNEY'S SWEETS & MORE franchisees generally.
We may also review advertisements that you propose to use.
We reserve the right to use our own funds from time to time to conduct advertising.
We have the sole discretion to determine the advertising products, media, source of advertising, and geographical markets for the advertising.
We have no obligation to supply you with any advertising material produced for us at our sole expense. (Franchise Agreement Section 8)
Brand Fund. We have established the Brand Fund to support the development of new recipes and franchisee revenue sources, the evaluation and adoption of new technology, and the
creation of marketing content and public relations materials, as we, in our sole discretion, deem appropriate for the benefit of the brand. (Franchise Agreement Sections 8 (a)(ii) and 8(b))
The contribution is currently 0.5% of monthly Gross Sales. We reserve the right to raise the contribution to the Brand Fund, but not to exceed 1.5% of your Gross Sales. We may at our discretion defer Brand Fund contributions for you or another franchisee for an additional period of time we deem appropriate at the outset of your or their Shop. Other franchisees' Brand Fund contributions may be calculated at a different rate or on a different basis and, under limited circumstances, certain franchisees may not be required to pay Brand Fund fees. We have the sole discretion to settle or forgive any accrued and unpaid Brand Fund contributions owed by a franchisee.
We have the sole discretion to determine where the Brand Fund contributions will be spent to promote, enhance, or further the growth of the BURNEY'S SWEETS & MORE brand, shops, and System, including, but not limited to: research; promotional marketing, public relations, and advertising expenses to promote the brand; hiring marketing, public relations and advertising agencies, technology companies, or in-house personnel to assist in developing the BURNEY'S SWEETS & MORE brand name; developing, evaluating, or using technologies that we believe may benefit the brand, the customers, the franchisees, or the brand's reputation; developing new products and franchisee revenue sources; expenses associated with listings on websites, contest registrations, digital marketing content, influencer marketing, and events and promotions designed to garner media attention and promote the brand name; brand partnerships; expenses associated with conducting market research; travel expenses in connection with promotions and marketing meetings, training, development of trademarks and trademarked materials; production of marketing, public relations, or digital or social media content, including, but not limited to, advertisements, coupons, and other promotional materials; expenses incurred in developing and maintaining non-franchise sales portion of any Online Presences; developing and maintaining any Online Presence; and expenses incurred in using search engine optimization, pay-per-click, or other digital marketing software, services, or companies to help promote the brand. While we do not anticipate that any part of Brand Fund contributions will be used for advertising which is principally a solicitation for franchisees, we reserve the right to use the Brand Fund for public relations or recognition of the BURNEY'S SWEETS & MORE brand, for the creation and maintenance of a website, a portion of which can be used to explain the franchise offering and solicit potential franchisees, and to include a notation in any advertisement indicating "Franchises Available" or similar language.
You may develop advertising materials for your own use at your own cost. We encourage the sharing by franchisees of advertising ideas and materials. We require you to submit advertising and promotional materials to us in advance and to obtain our approval before using them. You are required to follow our instructions in connection with any advertising or promotional materials we provide for your use. (Franchise Agreement Section 8(g).) Failure to follow our instructions regarding pre-approval of advertising materials will result in fines. These fines will be as follows: 1 st infraction: $0, 2nd infraction: $100, and third or subsequent infraction: $500. Imposition of these fines will in no way waive our right to consider your use of unapproved advertising as a default-triggering event, such as that described at Franchise Agreement Section 17(c)(v).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 25–33)
What This Means (2025 FDD)
According to Burneys Sweets More's 2025 Franchise Disclosure Document, the company has significant discretion over advertising and promotional activities. Burneys Sweets More may provide franchisees with advertising materials and review franchisees' proposed advertisements. Burneys Sweets More also reserves the right to use its own funds for advertising and has sole discretion in determining the advertising products, media, sources, and geographical markets for advertising. Burneys Sweets More is not obligated to supply franchisees with advertising material produced at its expense.
Burneys Sweets More has established a Brand Fund, with franchisee contributions currently at 0.5% of monthly Gross Sales, but can increase up to 1.5%. Burneys Sweets More has sole discretion over how the Brand Fund is spent to promote the Burneys Sweets More brand. These expenditures can include research, marketing, public relations, advertising, hiring agencies, developing technology, creating new products, and maintaining an online presence. While the Brand Fund is not intended for franchisee solicitation, Burneys Sweets More reserves the right to use it for public relations, brand recognition, website maintenance, and including "Franchises Available" notations in advertisements.
Franchisees can develop their own advertising materials at their own cost, and Burneys Sweets More encourages franchisees to share advertising ideas. However, franchisees must submit all advertising and promotional materials to Burneys Sweets More for approval before use and must follow Burneys Sweets More's instructions. Failure to follow these instructions can result in fines: $0 for the first infraction, $100 for the second, and $500 for the third or subsequent infractions. These fines do not waive Burneys Sweets More's right to consider unapproved advertising as a default-triggering event.