Do all international Churchs Chicken franchisees contribute to the advertising fund?

According to Churchs Chicken's 2025 Franchise Disclosure Document, not all international franchisees are required to contribute to the advertising fund. The franchise agreements for restaurants owned by the Parent, the Company, domestic franchisees, and certain international franchisees, including all franchisees in Puerto Rico, mandate participation and contributions to the Church's Chicken Advertising Fund. This indicates that while many international franchisees are required to contribute, there are exceptions.

This distinction is important for prospective international franchisees. It suggests that the advertising fund contribution requirement may vary based on the specific terms of their franchise agreement or their geographic location. Franchisees should carefully review their franchise agreement to determine whether they are obligated to contribute to the advertising fund and what percentage of their gross sales is required.

It is common in the franchise industry for advertising fund contributions to be mandatory, as these funds are used to promote the brand and support marketing efforts. However, the specific terms and conditions can vary widely. Prospective franchisees should inquire about the advertising fund's policies, including how the funds are used, whether there is an advisory council, and whether the franchisor provides regular reports on the fund's activities. Understanding these details can help franchisees assess the value and effectiveness of the advertising program and its potential impact on their business.