For Chocolate Bash, what is the Marketing Fund used for?

According to Chocolate Bash's 2024 Franchise Disclosure Document, the Marketing Fund is used for marketing and related purposes and costs. Media coverage is primarily local, and Chocolate Bash uses outside vendors and consultants to produce advertising. Chocolate Bash is not required to spend any amount of advertising in the area or territory where any particular franchisee is located but will maintain the brand website, which will be paid for by the Marketing Fund.

Chocolate Bash franchisees are required to contribute 1% of gross sales per week to the Marketing Fund, although Chocolate Bash retains the right to have other franchisees contribute a different amount or at a different rate. Outlets that Chocolate Bash owns are not obligated to contribute to the Marketing Fund. The fund is not audited, but Chocolate Bash will make unaudited annual financial statements available to franchisees upon request.

If the Marketing Fund has unspent funds at the end of the fiscal year, the money will remain in the Marketing Fund to be spent in the next year. In 2023, Chocolate Bash spent all the funds collected for the Marketing Fund. No money from the Marketing Fund is spent principally to solicit new franchise sales. This means the fund is dedicated to promoting the Chocolate Bash brand and supporting existing franchise locations, not for recruitment purposes.