Is Cool Binz required to spend a specific amount on advertising in a franchisee's territory?
Cool_Binz Franchise · 2025 FDDAnswer from 2025 FDD Document
We are not required to conduct advertising for you or the System. We are not required to spend any particular amount in your Territory. It is at our discretion to determine how much to spend, and where to market, advertise and promote the System.
We may provide you with advertising, promotional or marketing materials for you to use in local advertising, but we are not obligated to do this. We will provide you the business phone number and fax number to be used by the COOL BINZ Business. This number will be forwarded to any device(s) that you choose.
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, Cool Binz is not required to conduct advertising for franchisees or the System, nor are they required to spend any particular amount in a franchisee's territory. The amount spent and the location of marketing, advertising, and promotion of the System is at Cool Binz's discretion. Cool Binz may provide advertising, promotional, or marketing materials for local advertising, but they are not obligated to do so.
Cool Binz has established a Brand Marketing Fund, where franchisees must contribute two percent (2%) of their Gross Sales monthly. Cool Binz has sole right to determine contributions and expenditures from the Brand Marketing Fund, and the sole authority to determine the selection of advertising materials and programs. Cool Binz 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. However, Cool Binz does not have any obligation to spend any amount on advertising in a franchisee's specific territory.
Cool Binz franchisees must spend a minimum of 10% of Gross Sales annually on local advertising until their fleet of Portable Equipment containers is at least 80% rented. After that point, they are required to spend at least 5% of Gross Sales annually on local advertising. Franchisees must use Cool Binz's approved advertising and marketing materials, or receive written approval of any and all other advertising and marketing materials before their first use. Certain items, such as the truck, must reference the Cool Binz national toll free number.