What is the exclusive purpose for which each Churchs Chicken Regional Advertising Cooperative is organized?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
- (2) Each Cooperative shall be organized for the exclusive purpose of administering regional advertising programs and developing, subject to Cajun's approval, standardized promotional materials for use by its members in local advertising.
Source: Item 23 — RECEIPT (FDD pages 68–406)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, each Regional Advertising Cooperative is organized specifically to manage regional advertising programs. These cooperatives also develop standardized promotional materials for local advertising, but this is subject to approval from Cajun, the parent company.
This means that as a Churchs Chicken franchisee, you may be required to participate in a Regional Advertising Cooperative, contributing a percentage of your gross sales to fund regional advertising efforts. These cooperatives allow franchisees to have some input into local advertising strategies and materials, but Churchs Chicken retains ultimate control over brand standards and advertising content.
It's important to note that Churchs Chicken has the right to merge or terminate any Cooperative, and upon termination, all funds must be used for advertising or promotional purposes. Additionally, Churchs Chicken can grant exemptions from Cooperative membership or contribution requirements, offering some flexibility in certain circumstances. Franchisees should inquire about the existence and activities of any Regional Advertising Cooperatives in their Designated Market Area to fully understand their advertising obligations and opportunities.