Is a Crepe De Licious franchisee required to participate in local or regional advertising cooperatives?
Crepe_De_Licious Franchise · 2025 FDDAnswer from 2025 FDD Document
You are not required to participate in any local or regional advertising cooperative for Crepe de licious Franchises.
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, franchisees are not required to participate in any local or regional advertising cooperatives. However, Crepe De Licious does mandate that franchisees spend the greater of $500 or 1% of their gross revenues on local advertising each month. If a franchisee fails to meet this local advertising requirement, they must pay the difference to Crepe De Licious or, if established, to the Advertising Fund.
In addition to the local advertising requirement, Crepe De Licious franchisees must also contribute to a national advertising fund. This contribution is 3% of monthly gross revenues, paid at the same time as the royalty fee. This Advertising Fund is used for local, regional, or national marketing, advertising, sales promotion and promotional materials, public and consumer relations, website development and search engine optimization, and the development of technology for the Crepe De Licious system.
Furthermore, franchisees are obligated to spend at least $2,500 on local advertising, public relations, promotion, and other marketing activities related to their grand opening. This spending must occur before the restaurant, kiosk, or food truck opens and during its first 90 days of operation. All grand opening marketing campaigns require approval from Crepe De Licious, and franchisees must provide proof of expenditures within 30 days of opening.