Is the Crepe De Licious Advertising Fund audited?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
terms we deem reasonable.
The Advertising Fund is not audited. We will provide an annual accounting for the Advertising Fund that shows how the Advertising Fund proceeds have been spent for the previous year upon written request. We collected $72,857 in Advertising Fund Contributions during our last fiscal year, ended December 31, 2024 and spent a total of $72,614.50. We allocated this in the following: Administrative and Payroll – 98%, Ad Placements – 1.7%, Ad Marketing and Design – .5%, Other – 0
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 29–40)
What This Means (2025 FDD)
According to Crepe De Licious's 2025 Franchise Disclosure Document, the Advertising Fund is not audited. However, Crepe De Licious will provide an annual accounting for the Advertising Fund, which shows how the funds were spent in the previous year, upon written request.
For the fiscal year ending December 31, 2024, Crepe De Licious collected $72,857 in Advertising Fund Contributions and spent a total of $72,614.50. The allocation of these funds was as follows: 98% for Administrative and Payroll, 1.7% for Ad Placements, 0.5% for Ad Marketing and Design, 0% for Other, and 0% Retained for Fund.
This means that while a third-party audit isn't performed to verify the accuracy of the Advertising Fund's financial statements, franchisees can request an accounting to see where their contributions are being spent. It's important for prospective franchisees to consider this when evaluating the level of transparency and oversight of the advertising fund.