Can the Cream Brand Fund be used to pay for advertising agencies?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
administering national, regional, digital, or local advertising and marketing campaigns and/or programs; using advertising, promotion, and marketing agencies and other advisors to provide assistance; supporting public relations, market research, and other advertising, promotion, and marketing strategy or implementation activities; and/or any other expenditures that are directly or indirectly related to promoting the Marks, the System, the brand, and/or Jeni's Ice Creams Scoop Shops. We may also use the Brand Fund to pay for the Brand Fund's administrative and overhead costs, including the reasonable salaries and benefits of personnel who manage and administer the Brand Fund, and any other expenses that we or our affiliates incur that are related to administering or directing the Brand Fund and its programs. We may modify Brand Fund expenditures at any time.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 28–35)
What This Means (2025 FDD)
According to the 2025 FDD, Cream can use the Brand Fund to pay for advertising agencies. The Brand Fund is used to administer advertising, marketing, and public relations programs for the Cream system and Jeni's brand. Cream has exclusive control over the Brand Fund programs and services, including creative concepts, materials, campaigns, and their geographic market, media placement, and allocation.
Cream may use the Brand Fund to pay for various advertising and marketing activities, including using advertising, promotion, and marketing agencies and other advisors to provide assistance. The Brand Fund can also support public relations, market research, and other advertising, promotion, and marketing strategy or implementation activities. Additionally, the Brand Fund can cover administrative and overhead costs, including salaries and benefits for personnel who manage the fund, and any other expenses related to administering or directing the Brand Fund and its programs.
Cream does not have any fiduciary obligation to franchisees for administering the Brand Fund and will not make the Brand Fund's financial statements available for franchisee review. Cream can also modify Brand Fund expenditures at any time, reduce or suspend Brand Fund contributions, and even terminate the Brand Fund. Jeni's Ice Creams Scoop Shops owned by Cream or its affiliates will contribute to the Brand Fund at the same rate as franchise-owned locations.