What activities can the Deer Solution Brand Development Fund be used for?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- (5) Franchisee agrees that the Brand Development Fund may be used to pay various costs and expenses of Franchisor for such reasonable salaries, wages, administrative costs and overhead as Franchisor may incur in activities reasonably related to the administration, activities and/or the brand awareness goals of the Brand Development Fund including expenses incurred by Franchisor for advertising, marketing, product and service testing, product and service development, maintenance, evaluation and monitoring of the Business Management Systems, upgrades to the System Website, development of Digital Media and creative development that is internally administered or prepared by Franchisor and other marketing activities made by Franchisor, provided, however, that salary expenses for Franchisor's personnel paid by the Brand Development Fund shall be commensurate with the amount of that time spent by such personnel on Brand Development Fund matters.
Franchisor shall not use contributions to the Brand Development Fund to defray any of Franchisor's general operating expenses, except for such reasonable salaries, administrative costs and overhead as Franchisor may incur in activities reasonably related to the administration and activities of the Brand Development Fund and creation or conduct of its marketing programs including, without limitation, conducting market research, preparing advertising and marketing materials and collecting and accounting for contributions to the Brand Development Fund.
Franchisor may spend in a fiscal year an amount greater or less than the aggregate contributions of all Deer Solution Businesses to the Brand Development Fund in that year;
- (6) Franchisee agrees to participate in all advertising, marketing, promotions, research, and public relations programs instituted by the Brand Development Fund;
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, the Brand Development Fund can be used to cover various costs and expenses incurred by Deer Solution for activities related to the fund's administration and brand awareness goals. These activities include reasonable salaries, wages, administrative costs, and overhead.
Specifically, the Brand Development Fund may cover expenses related to advertising, marketing, product and service testing, product and service development, maintenance, evaluation and monitoring of the Business Management Systems, upgrades to the System Website, and the development of Digital Media and creative content. These activities can be administered internally or prepared by Deer Solution, and also include other marketing activities made by Deer Solution. However, salary expenses for Deer Solution's personnel paid by the Brand Development Fund must be commensurate with the time spent on Brand Development Fund matters.
Deer Solution is not allowed to use the Brand Development Fund to cover its general operating expenses, except for reasonable salaries, administrative costs, and overhead related to the administration and activities of the fund, as well as the creation and execution of its marketing programs. This includes conducting market research, preparing advertising and marketing materials, and managing contributions to the Brand Development Fund. Deer Solution may spend more or less than the total contributions to the fund in a given fiscal year. Franchisees are required to participate in all advertising, marketing, promotions, research, and public relations programs initiated by the Brand Development Fund.