How are unspent monies distributed if the Card My Yard advertising fund is terminated?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
If the Fund is terminated, all unspent monies on the date of termination will be distributed to the contributors to the Fund in proportion to their respective contributions to the Fund during the preceding twelve (12) month period.
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, if the Marketing Fund is terminated, any unspent money will be distributed to the contributors of the fund. The distribution will be proportional to each contributor's payments into the fund over the 12-month period before the termination date.
For a prospective Card My Yard franchisee, this means that if the Marketing Fund is terminated, they could receive a portion of the unspent funds back, based on how much they contributed in the previous year. This provides some assurance that contributions are not lost if the fund ceases to operate.
It's important to note that Card My Yard reserves the right to terminate the fund with thirty days written notice. Franchisees should consider this possibility and the potential impact on their marketing strategies and budgets. Understanding the terms of fund termination and potential refunds is a key aspect of evaluating the franchise opportunity.