Can the Brand Marketing Fund for Cool Binz be used for franchisee solicitation?

According to Cool Binz's 2025 Franchise Disclosure Document, the Brand Marketing Fund can be used for franchisee solicitation, although it is not the primary intention. Cool Binz has the sole right to determine contributions and expenditures from the Brand Marketing Fund. They will make a good faith effort to expend Brand Marketing Fees in the general best interests of the System on a national or regional basis.

While Cool Binz does not anticipate that the Brand Marketing Fund will be primarily used for franchisee solicitation, they reserve the right to use it for public relations or recognition of the Cool Binz brand. This includes the creation and maintenance of a website, a portion of which can be used to explain the franchise offering and solicit potential franchisees. Additionally, Cool Binz can include a notation in any advertisement indicating "Franchises Available."

This means that while the main purpose of the Brand Marketing Fund is to promote the services offered by Cool Binz franchisees, a portion of the fund can be used to attract new franchisees. This is a common practice in franchising, as the growth of the franchise system benefits existing franchisees by increasing brand recognition and potentially lowering costs through economies of scale. However, prospective franchisees should be aware that the franchisor has the discretion to allocate these funds and is not obligated to spend any amount on advertising in a specific franchisee's territory.