Can the Decorating Den Interiors NBF Fees be refunded?
Decorating_Den_Interiors Franchise · 2025 FDDAnswer from 2025 FDD Document
:
| Annual Gross Sales | NBF Fee |
|---|---|
| $0 - $200,000 | 4% |
| $200,000.01 to $300,000 | 3% |
| Over $300,000 | 1% |
DDSI may change or eliminate the NBF Fee Reduction Program at any time after 30 days' notice.
If the total NBF Fees for any calendar month are less than the One Hundred Dollar ($100.00) monthly minimum (the "Monthly NBF Minimum"), the Franchisee shall pay the difference and such amount shall be included in the invoice issued on the last day of the month. The NBF Fees are non-refundable. The NBF Fees so collected shall be placed in the Decorating Den National Brand Fund Trust and will be segregated from other funds of DDSI. DDSI may increase the Monthly NBF Minimum once each calendar year, but such increase may not exceed the increases in the CPI for the immediately preceding calendar year.
- b. The monies accumulated in the National Brand Fund Trust shall be spent on branding, national, regional, or local media, advertising or other marketing techniques or programs designed to communicate the services of DECORATING DEN INTERIORS franchisees and enhance and promote the DECORATING DEN INTERIORS brand image and awareness to the public. In addition, these funds may also be expended for market research and development, test or target marketing, the conducting of surveys, creative and production costs, reimbursement to DDSI for reasonable accounting, administrative and legal expenses associated with the National Brand Fund Trust, internal expenses incurred in connection with the operation of the DDSI advertising and public relations departments, or for other purposes deemed appropriate to enhance and promote the general recognition of the DECORATING DEN INTERIORS System and the Marks.
- c. The specific use of the National Brand Fund Trust for the purposes set forth herein shall be determined and budgeted by DDSI with the advice of the Decorating Den Franchise Owners Board of Advisors, called The Leadership Council. The parties hereby acknowledge and understand that funds o
Source: Item 22 — Contracts (FDD pages 59–60)
What This Means (2025 FDD)
According to Decorating Den Interiors' 2025 Franchise Disclosure Document, the NBF (National Brand Fund) fees are non-refundable. If a franchisee's total NBF fees for any calendar month are less than the $100 monthly minimum, the franchisee must pay the difference. This amount is included in the invoice issued on the last day of the month.
The NBF fees collected are placed in the Decorating Den National Brand Fund Trust, kept separate from Decorating Den Interiors' other funds. Decorating Den Interiors may increase the Monthly NBF Minimum once per calendar year, but the increase cannot exceed the increase in the CPI (Consumer Price Index) for the preceding calendar year.
The funds in the National Brand Fund Trust are used for branding, national, regional, or local media, advertising, marketing, market research and development, surveys, creative and production costs, and administrative expenses related to the fund. Decorating Den Interiors determines the specific use of these funds with the advice of the Decorating Den Franchise Owners Board of Advisors (The Leadership Council). The funds may be spent in any territory without needing to be apportioned based on the contributions made by individual franchisees.