Who directs the Crawlspace Medic Brand Fund?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
Franchisor shall direct the Brand Fund and shall have sole discretion to approve or disapprove the creative concepts, materials and media used in such programs and the placement and allocation thereof.
Franchisee agrees and acknowledges that the Brand Fund is intended to maximize general public recognition and acceptance of the Marks and enhance the collective success of all Franchised Businesses operating under the System.
- 13.3.3.
Franchisor may, but has no obligation to, contribute to the Brand Fund on the same basis as Franchisee with respect to Crawlspace Medic outlets operated by Franchisor or Franchisor's affiliates.
- 13.3.4.
Franchisor may use the Brand Fund to satisfy any and all costs of developing, preparing, producing, directing, administering, conducting, maintaining and disseminating advertising, marketing, promotional and public relations materials, programs, campaigns, sales and marketing seminars and training programs of every kind and nature, through media now existing or hereafter developed (including, without limitation, the cost of television, radio, magazine, social media, newspaper and electronic advertising campaigns; direct mail and outdoor billboard advertising; public relations activities; conducting marketing research, employing advertising agencies to assist therein; developing, enhancing and maintaining the Website; and personnel and other departmental costs for advertising that Franchisor internally administers or prepares).
- 13.3.5.
The Brand Fund will not be used to defray any of Franchisor's general operating expenses, except for reasonable administrative costs and overhead that Franchisor may incur in activities related to the administration
Source: Item 22 — CONTRACTS (FDD page 42)
What This Means (2024 FDD)
According to the 2024 Crawlspace Medic Franchise Disclosure Document, the Brand Fund is directed by the Franchisor. The Franchisor has the sole discretion to approve or disapprove the creative concepts, materials, and media used in advertising programs, including their placement and allocation.
This means that Crawlspace Medic franchisees do not have direct control over how the Brand Fund is spent or the specific advertising strategies employed. However, the FDD states that the Brand Fund is intended to maximize public recognition of the Crawlspace Medic brand and enhance the collective success of all franchised businesses.
The Franchisor can use the Brand Fund for various advertising, marketing, promotional, and public relations activities. These activities include television, radio, magazine, social media, newspaper, and electronic advertising campaigns, direct mail, outdoor billboard advertising, public relations activities, marketing research, advertising agencies, website development, and personnel costs for advertising that Crawlspace Medic internally administers or prepares. The Brand Fund will not be used for the Franchisor's general operating expenses, except for reasonable administrative costs and overhead related to the fund's administration.