How does City Wide maintain the Marketing Fund?
City_Wide Franchise · 2025 FDDAnswer from 2025 FDD Document
- 10.2 The Fund will be maintained by CITY WIDE in a separate bank account which will be designated as a "Trust Account," and which will not be commingled with any funds of CITY WIDE.
Any interest that may accrue or be earned on the Fund will be added to and become a part of the Fund.
An annual accounting of the Fund will be prepared at the Fund's expense and made available to Franchisee upon request.
Source: Item 22 — CONTRACTS (FDD page 65)
What This Means (2025 FDD)
According to City Wide's 2025 Franchise Disclosure Document, the Marketing Fund is maintained in a specific manner. City Wide will keep the funds in a separate bank account designated as a "Trust Account," ensuring that these funds are not mixed with any of City Wide's other funds. Any interest earned on the money in the Marketing Fund will be added to the fund itself, increasing the total amount available for marketing activities.
City Wide has the sole discretion to use the Marketing Fund for national, regional, and local marketing and national business development. This includes public relations, marketing programs, marketing support materials, market research, and the production of signage and printed materials. City Wide is not obligated to spend the funds at any specific time and may accrue amounts in the fund. Franchisees benefit from the fund through increased recognition and acceptance of City Wide's marks and the development of national business relationships.
An annual accounting of the Marketing Fund will be prepared at the Fund's expense and made available to franchisees upon request, providing transparency in how the funds are managed and spent. This accounting allows franchisees to see how their contributions are being used to support the City Wide system's marketing efforts. Franchisees contribute to the fund through a marketing fee, which is up to one percent of their monthly Gross Sales, as outlined in the Operating Manual.