What is the payment schedule for the National Marketing Fee for Crisp & Green?
Crisp_Green Franchise · 2024 FDDAnswer from 2024 FDD Document
10.01 National Marketing Fee. We may, in our sole discretion, charge a National Marketing Fee in consideration for the advertising and marketing services we provide, which may include the creation and production of marketing materials and preparation of advertising campaigns. You must contribute to the National Marketing Fee amounts that we establish at any time and from time to time, not to exceed three percent (3%) of Gross Sales, which are payable monthly together with the royalty fees due hereunder. At this time, the current National Marketing Fee is two percent (2%) of Gross Sales and is collected monthly with the royalty fee.
National marketing may be operated through a separate Entity as we deem appropriate in our sole discretion. Any such Entity will have all of the rights and duties as specified in this Section. We will direct all programs related to national marketing, including, without limitation, the creative concepts, materials, and endorsements used and their geographic, market, and media placement and allocation. Your National Marketing Fee may pay for preparing and producing video, audio, and written materials and electronic media; developing, implementing, and maintaining an electronic commerce website and/or related strategies; administering regional and multi-regional marketing and advertising programs, including, without limitation, purchasing trade journal, direct mail, and other media advertising and using advertising, promotion, and marketing agencies and other advisors to provide assistance; and supporting public relations, market research, and other advertising, promotion, and marketing activities.
We cannot assure you that any particular Restaurant will benefit directly or pro-rata from the placement of advertising. The advertising and marketing services we provide may include preparing and producing materials and campaigns we select, including video, audio and written advertising and point-of-purchase ("POP") materials, employing advertising agencies and inhouse staff, and engaging in market research activities. We may furnish you with marketing, advertising and promotional materials (including POP materials), and we may charge you related administrative, shipping, handling and storage charges. These costs may vary based on individual Restaurants and their merchandising capacity.
We may at any time defer or reduce contributions of a Restaurant and, upon thirty (30) days' prior written notice to you, reduce or suspend the National Marketing Fee and operations for one or more periods of any length and terminate (and, if terminated, reinstate) the national marketing program.
Source: Item 23 — RECEIPTS (FDD pages 66–252)
What This Means (2024 FDD)
According to Crisp & Green's 2024 Franchise Disclosure Document, the National Marketing Fee is payable monthly along with the royalty fees. The amount of the National Marketing Fee can be up to three percent (3%) of Gross Sales. Currently, Crisp & Green charges two percent (2%) of Gross Sales for the National Marketing Fee.
This fee contributes to advertising and marketing services provided by Crisp & Green, which may include creating marketing materials and advertising campaigns. These services may be operated through a separate entity at Crisp & Green's discretion. Crisp & Green directs all programs related to national marketing, including the creative concepts, materials, and their placement.
The National Marketing Fee may cover various expenses such as preparing video, audio, and written materials, developing e-commerce websites, administering marketing programs, and supporting public relations and market research. However, Crisp & Green does not guarantee that any particular restaurant will directly benefit from the placement of advertising.
Crisp & Green retains the right to defer, reduce, or suspend the National Marketing Fee and operations, or even terminate the national marketing program, with thirty (30) days' prior written notice to the franchisee.