Does Cordova administer System-wide marketing funds?
Cordova Franchise · 2025 FDDAnswer from 2025 FDD Document
We may administer and manage System-wide marketing funds comprised of a Brand Development Fund and/or Advertising Cooperative. (Franchise Agreement, Article 9);
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 23–28)
What This Means (2025 FDD)
According to Cordova's 2025 Franchise Disclosure Document, Cordova may administer and manage system-wide marketing funds. These funds may consist of a Brand Development Fund and/or Advertising Cooperative.
The Brand Development Fund may be used for various marketing and development purposes, including market studies, research, advertising, and public relations. Cordova or its affiliates may contribute to this fund, but are not required to do so. Franchisees may be required to contribute a monthly sum not to exceed 2% of their monthly Gross Sales to the Brand Development Fund. Cordova is not required to segregate the Brand Development Fund from its general operating funds and is not a fiduciary or trustee of the Brand Development Fund.
If Cordova establishes a local or regional advertising cooperative, franchisees must contribute to it. The members of the cooperative will administer it, determining contribution amounts and marketing expenditures. Cordova may require cooperative decisions to be based on a simple majority vote of franchisee members, with a quorum of at least 25%.