Does Crave have to have the Brand Development Fund statement audited annually?
Crave Franchise · 2025 FDDAnswer from 2025 FDD Document
- 8.3.3 A statement of the operations of the Fund shall be prepared annually by our accountants and shall be made available to you on written request.
The cost of the statement shall be paid by the Fund.
We are not required to have any Fund statement audited, but if we choose to have the Fund audited it will be at the Fund's expense.
Source: Item 23 — RECEIPTS (FDD pages 63–253)
What This Means (2025 FDD)
According to Crave's 2025 Franchise Disclosure Document, Crave is not required to have the Brand Development Fund statement audited annually. However, a statement of the operations of the Fund must be prepared annually by Crave's accountants and made available to franchisees upon written request. The cost of this statement is paid by the Brand Development Fund.
If Crave chooses to have the Brand Development Fund audited, it will be at the Fund's expense. This means that franchisees would bear the cost of the audit through their contributions to the fund.
This policy gives Crave flexibility in managing the Brand Development Fund, while still providing franchisees with some level of financial transparency through the annual statement of operations. Franchisees have the right to request this statement to review how the fund is being managed and spent. However, they should be aware that an audit is not guaranteed unless Crave decides to conduct one, and that the cost of any audit would be borne by the fund itself.