factual

Can Cicis reallocate my required marketing contributions and expenditures, and if so, how will I be notified?

Cicis Franchise · 2025 FDD

Answer from 2025 FDD Document

We may, at our discretion, reallocate all or any portion of your required marketing contributions and expenditures to the Fund, to Local Marketing, or to a Cooperative by giving you written notice. While we cannot increase the total amount you must pay for national, regional and local marketing, we may adjust how those marketing dollars are allocated among the Fund, Local Marketing, and any Cooperative established by us. There are no other limits on the frequency or amounts of those adjustments, and we may require you to contribute up to 100% to the Fund or a Cooperative or spend up to 100% for Local Marketing.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 31–38)

What This Means (2025 FDD)

According to Cicis's 2025 Franchise Disclosure Document, Cicis has the discretion to reallocate a franchisee's required marketing contributions and expenditures. These funds can be moved to the Fund, Local Marketing, or a Cooperative. Cicis will provide written notice to the franchisee regarding any such reallocations.

While the total amount a franchisee must pay for national, regional, and local marketing will not increase due to reallocation, Cicis can adjust how these marketing dollars are distributed among the Fund, Local Marketing, and any Cooperative established by them. There are no stated limits on the frequency or amounts of these adjustments.

Cicis may require a franchisee to contribute up to 100% of their marketing funds to the Fund or a Cooperative, or spend up to 100% on Local Marketing. This flexibility allows Cicis to adjust marketing strategies as needed, but it also means a franchisee's marketing focus could shift significantly based on Cicis's decisions.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.