Is Chicken Guy required to spend any amount on advertising in the area where a franchisee's Chicken Guy restaurant is located?

According to Chicken Guy's 2025 Franchise Disclosure Document, Chicken Guy is not required to spend any amount on advertising in the area where a franchisee's restaurant is located. However, franchisees are obligated to pay a Weekly Marketing Obligation, a portion of which may be directed to a Regional Advertising Fund or a Regional Co-op, if established in the franchisee's geographic area. The establishment and management of these funds are at Chicken Guy's discretion.

Chicken Guy, or its designee, has sole discretion over advertising programs financed by the Brand Fund and any Regional Advertising Fund, including creative concepts, materials, and media placement. Advertising funded by these sources must conform to Chicken Guy's specifications. Chicken Guy also has the right to terminate or restart advertising and cooperative funds and may incorporate any advertising fund or have a separate entity manage it.

While Chicken Guy accounts separately for the Brand Fund and Regional Advertising Funds, it is not required to segregate these funds from its other monies. The funds cannot be used for Chicken Guy's general operating expenses, but Chicken Guy and its affiliates may be reimbursed for expenses directly related to the fund's marketing programs. Company-operated restaurants contribute to the advertising funds and cooperatives at an equivalent rate to franchised locations. Despite these contributions, Chicken Guy is not obligated to ensure that any franchisee benefits directly or on a pro rata basis from the expenditure of these funds.