When is the Marketing Fund Contribution for a Craters & Freighters franchise due?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
You must pay us a Marketing Fund contribution ("Marketing Fund Contribution") equal to one percent (1%) of monthly Adjusted Gross Sales. We have the right to increase the amount of your Marketing Fund Contribution up to two percent (2%) of monthly Adjusted Gross Sales upon 30 days written notice to you. You must pay the Marketing Fund Contribution to us at the same time that you
pay your monthly Royalty Fee.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 22–29)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters FDD, franchisees must make Marketing Fund Contributions equal to 1% of their monthly Adjusted Gross Sales. This contribution is paid to Craters & Freighters to support the national marketing fund.
Craters & Freighters uses this fund to promote the system through various advertising and marketing programs. These programs include creating and placing ads in local, regional, and national media, developing promotional materials, and conducting public relations activities. The fund also covers the costs of maintaining marketing efforts, such as direct mail advertising, local and national promotions, market research, and the Franchisor's website.
Company-owned or affiliate-owned Craters & Freighters franchised businesses contribute to the Marketing Fund at the same percentage rate as franchisees. The Marketing Fund is administered by Craters & Freighters, who may use a professional advertising agency or media buyer to assist in doing so. Franchisees should note that this Marketing Fund contribution is in addition to the individual advertising expenses they must incur for their own territory.