Is the Golden Corral National Fund considered an asset of Golden Corral?
Golden_Corral Franchise · 2025 FDDAnswer from 2025 FDD Document
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- The National Fund is not and will not be an asset of Golden Corral. An independent certified public accountant selected by Golden Corral will review the statement of operations of the National Fund maintained by Golden Corral annually, which statement will be made available to you, upon reasonable notice (Franchise Agreement, Section 11.2.6).
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 32–48)
What This Means (2025 FDD)
According to Golden Corral's 2025 Franchise Disclosure Document, the National Fund is explicitly stated as not being an asset of Golden Corral. The funds contributed to the National Fund are to be used for advertising and promotional purposes to benefit all restaurants within the Golden Corral system. Golden Corral maintains separate bookkeeping accounts for the National Fund. An independent certified public accountant reviews the National Fund's statement of operations annually, and this statement is available to franchisees upon reasonable notice.
Golden Corral maintains the right to terminate the National Fund, but only after all monies have been expended for advertising and promotional purposes or returned to the contributors based on their respective contributions. This ensures that the funds are used as intended for the benefit of the franchise system. Golden Corral also contributes to the National Fund for its company-owned restaurants on the same basis as franchisees.
This arrangement provides transparency and accountability regarding the use of advertising funds. Franchisees can be assured that their contributions are being used for the intended purpose of promoting the Golden Corral brand and increasing system revenues. The independent review and the availability of the statement of operations further enhance the trustworthiness of the fund's management.