How often must Cool Binz franchisees pay the Brand Marketing Fee?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
We have established and maintain a brand marketing fund (the "Brand Marketing Fund") for the common benefit of System franchisees. You must contribute two percent (2%) of your Gross Sales monthly to the Brand Marketing Fund (the "Brand Marketing Fee") in the manner we prescribe. You must pay the Brand Marketing Fee on a monthly basis. (Section 2.G of the Franchise Agreement).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 36–45)
What This Means (2025 FDD)
According to Cool Binz's 2025 Franchise Disclosure Document, franchisees are required to pay the Brand Marketing Fee on a monthly basis. This fee is set at two percent (2%) of the franchisee's Gross Sales.
The Brand Marketing Fund is used at Cool Binz's discretion to develop and distribute advertising on national, regional, and local levels. These marketing efforts aim to promote the services offered by Cool Binz franchisees through various channels, including in-house marketing materials and national agencies.
Cool Binz retains the sole right to manage the contributions and expenditures of the Brand Marketing Fund, including the selection of advertising materials and programs. While Cool Binz aims to act in the best interest of the System, they are not obligated to ensure that all franchisees benefit equally or on a pro-rata basis from the fund's expenditures, nor are they required to spend any specific amount on advertising within a franchisee's specific territory. This means that while franchisees contribute a percentage of their gross sales, there is no guarantee of direct or proportional benefit from the marketing efforts in their area.