Is Churchs Chicken allowed to use the Ad Fund to solicit the sale of franchises?

According to the 2025 Churchs Chicken Franchise Disclosure Document, Churchs Chicken generally does not use the Ad Fund to actively solicit the sale of new franchises. However, the FDD notes a specific exception: Churchs Chicken may use the Ad Fund for incidental purposes such as promoting franchise sales on its website, www.churchs.com.

This means that while the Ad Fund's primary purpose is to support marketing and advertising for existing Churchs Chicken restaurants, a portion of the funds may be used to attract potential franchisees through online channels. This is a common practice in franchising, as brand growth benefits the entire system.

For a prospective franchisee, this implies that the Ad Fund, to which they will be required to contribute a percentage of their gross sales, is primarily focused on driving customer traffic and sales at existing locations. However, they should also be aware that a small portion of the fund may be used to support franchise recruitment efforts, which indirectly benefits all franchisees by expanding the brand's presence and recognition.