What is the name of the brand development fund maintained by Cr3 American Exteriors?
Cr3_American_Exteriors Franchise · 2025 FDDAnswer from 2025 FDD Document
of $20,000 or 3-5% of Gross Revenue per year on local advertising pursuant to our guidelines. (Franchise Agreement, Section 3.2(B)).
Advertising Fund. We maintain a brand development fund (the "Advertising Fund"). You are required to contribute one percent (1%) of your Gross Revenues per month into our Advertising Fund. Company outlets are not required to contribute to the Advertising Fund. We administer the Advertising Fund. The Advertising Fund will not be audited. Unaudited financial statements of the Advertising Fund will be made available to you upon written request. We will not use Advertising Funds to solicit new franchisees.
In our last fiscal year ending December 31, 2024, the Advertising Fund spent al
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 32–37)
What This Means (2025 FDD)
According to Cr3 American Exteriors' 2025 Franchise Disclosure Document, the brand development fund is referred to as the "Advertising Fund". As a franchisee, you are required to contribute one percent (1%) of your Gross Revenues per month into this Advertising Fund. Company outlets, however, are not required to contribute.
The FDD specifies that Cr3 American Exteriors administers the Advertising Fund, but it will not be audited. While the fund isn't audited, unaudited financial statements will be available to franchisees upon written request. The company also states that Advertising Funds will not be used to solicit new franchisees.
For the fiscal year ending December 31, 2024, the Advertising Fund spent all of its funds except for $1,971.56, which represents 3% of the total funds. This remaining balance was carried over for use in 2025. Understanding how these funds are managed and allocated is crucial for prospective franchisees, as it directly impacts the brand's marketing efforts and, consequently, the potential success of individual franchise locations.