What is the role of the Gold Star Chili Franchisee Advisory Council?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
The Gold Star Chili Franchisee Advisory Council (the "Council") advises GSCAA on advertising policies. Currently, members of the Council are existing Franchisees (or their respective owners) and are elected by majority vote of Gold Star's Franchisees. Gold Star has the power to form, dissolve or change the Council. The Council serves in an advisory capacity only and does not have operational or decision-making power. Gold Star may, in its sole discretion, expand, modify or eliminate the Council or its responsibilities and is under no obligation to conduct any future advertising program with respect to written governing documents.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 26–36)
What This Means (2025 FDD)
According to the 2025 Gold Star FDD, the Gold Star Chili Franchisee Advisory Council (the "Council") serves to advise Gold Star on advertising policies. The members of the Council are existing Gold Star franchisees (or their owners) and are elected by a majority vote of the Gold Star franchisees.
However, the FDD states that Gold Star has the power to form, dissolve, or change the Council. The Council's role is purely advisory, meaning it does not have any operational or decision-making power within the Gold Star franchise system.
Gold Star retains the discretion to expand, modify, or eliminate the Council or its responsibilities. Furthermore, Gold Star is under no obligation to conduct any future advertising program based on the Council's input or written governing documents. This indicates that while the Council provides advice, Gold Star ultimately makes the final decisions regarding advertising and marketing strategies.