Will the City Wide Marketing Fund be commingled with any funds of City Wide?
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 will not be commingled with any funds of City Wide. The FDD states that the fund will be maintained by City Wide in a separate bank account designated as a "Trust Account." Any interest accrued on the Marketing Fund will be added to the fund itself.
This arrangement provides a level of assurance to franchisees that their contributions to the Marketing Fund will be used specifically for marketing and business development activities, rather than being used for City Wide's general operating expenses. This separation of funds is a positive aspect for franchisees, as it ensures transparency and accountability in how the marketing fees are managed.
City Wide will provide an annual accounting of the Marketing Fund at the Fund's expense, and this accounting will be made available to franchisees upon request. This further enhances transparency, allowing franchisees to review how the funds are being utilized and ensuring that they are being used in accordance with the franchise agreement.