Can the Craters & Freighters Marketing Fund be used to purchase promotional items?
Craters_Freighters Franchise · 2025 FDDAnswer from 2025 FDD Document
The Marketing Fund may also be used to meet any and all costs of maintaining, administering, directing, and preparing marketing, advertising, and promotional efforts and programs including, but not limited to: direct mail advertising; local, regional, and national promotions; call centers; market research; public relations activities; developing and maintaining Franchisor's Website and franchisee geosites (including the Franchisee Geosite); employing marketing, advertising, and public relations agencies (including the payment of commissions); purchasing promotional items; attending trade shows; providing other marketing materials and services to Craters & Freighters Franchised Businesses operating under the System; and other marketing, advertising, and promotional activities.
Source: Item 22 — CONTRACTS (FDD pages 49–50)
What This Means (2025 FDD)
According to the 2025 Craters & Freighters Franchise Disclosure Document, the Marketing Fund can be used to purchase promotional items. The FDD specifies that the Marketing Fund may cover costs related to marketing, advertising, and promotional efforts. These efforts include purchasing promotional items, along with other activities like direct mail advertising, local and national promotions, market research, and maintaining the Craters & Freighters website.
This means that a portion of the funds contributed to the Marketing Fund by Craters & Freighters franchisees may be allocated to purchasing items designed to promote the brand. These promotional items could range from branded merchandise to giveaways at trade shows, all intended to increase brand awareness and attract customers.
It's important to note that Craters & Freighters does not guarantee that advertising expenditures from the Marketing Fund will directly benefit each franchisee on a pro rata basis. The franchisor aims to maximize general brand recognition, and the allocation of funds is at their discretion. Franchisees should be aware that their contributions to the Marketing Fund may not always result in direct, measurable benefits for their specific location.