What section of the Franchise Agreement discusses the Brand Fund for Burneys Sweets More?
Burneys_Sweets_More Franchise · 2025 FDDAnswer from 2025 FDD Document
Contributions to the Brand Fund are payable to us. We have the right to establish in the future a nonprofit corporation or other business entity to collect Brand Fund advertising contributions from our franchisees. The Brand Fund is administered by our accounting and marketing personnel under our direction. The Brand Fund is not audited. You may obtain an
accounting annually upon written request to our Chief Executive Officer at our principal place of business. We may have the Brand Fund borrow from us or other lenders to cover any Brand Fund deficits. We may have the Brand Fund invest any surplus for the Brand Fund's future use. A brief statement regarding the availability of information regarding the sale of Burney's Sweets & MORE franchises may be included in advertising and other items produced using the Brand Fund; provided that we will use none of the contributions to the Brand Fund principally to sell franchises. Company-owned BURNEY'S SWEETS & MORE locations are not obligated to contribute to the Brand Fund on the same basis as franchisees, but they currently do. (Franchise Agreement Section 8(b))
Our use of the Brand Fund in the most recent fiscal year is as follows:
| TITLE & CONTENTS | NUMBER OF PAGES | |---|---| | Recipes | 50 | | Vendor List | 1 | | Supplies and Equipment | 2 | | Supplies by Vendor | 1 | | Operating Procedures | 4 | | TOTAL | 58 | Local Advertising Requirement. We require that you spend at least 1% of your monthly Gross Sales on local advertisement. We will require that you submit documentation at least quarterly to us to verify to us that you are meeting this requirement.
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 Brand Fund is discussed in multiple sections of the Franchise Agreement. Specifically, Franchise Agreement Section 8(b) is mentioned in relation to contributions to the Brand Fund. Additionally, Franchise Agreement Sections 8 (a)(ii) and 8(b) are referenced in the context of the Brand Fund supporting the development of new recipes, franchisee revenue sources, technology adoption, and marketing content creation.
These sections outline the framework for how the Brand Fund operates, including how contributions are made and how the funds are utilized. The document specifies that the Brand Fund is used to promote and enhance the Burneys Sweets More brand through various means such as research, marketing, public relations, and advertising. It also covers the possibility of using the fund for technology development, new product creation, and online presence maintenance.
For a prospective Burneys Sweets More franchisee, understanding these sections is crucial as they detail the financial obligations related to the Brand Fund and how those funds are intended to benefit the entire franchise system. It's important to note that Burneys Sweets More retains significant discretion over how the Brand Fund is managed and spent, which is a common practice in franchising. Franchisees should carefully review these sections to understand their rights and obligations regarding the Brand Fund and to assess whether the franchisor's approach aligns with their expectations.