When is the Golden Krust Caribbean Restaurant advertising fee paid?
Golden_Krust_Caribbean_Restaurant Franchise · 2024 FDDAnswer from 2024 FDD Document
rtising council but we reserve the right, at any time, to create one in the future.
You will be required to pay to us a weekly advertising fee equal to one-and-one-half percent (1.5%) of the Gross Sales of the Restaurant. This advertising fee is paid with the weekly royalty payment, but will be segregated by us in a special account maintained solely for the advertising fund.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, OPERATIONS MANUAL, WEBSITE, AND TRAINING (FDD pages 18–23)
What This Means (2024 FDD)
According to the 2024 Golden Krust Caribbean Restaurant Franchise Disclosure Document, franchisees are required to pay a weekly advertising fee. This fee is equal to 1.5% of the restaurant's gross sales.
The advertising fee is collected at the same time as the weekly royalty payment. However, Golden Krust Caribbean Restaurant will keep the advertising fees separate in a dedicated account used solely for the advertising fund.
In addition to the advertising fee, franchisees must also spend 1% of their annual gross sales on local marketing efforts, including digital marketing. This local marketing expenditure is separate from the weekly advertising fee paid to Golden Krust Caribbean Restaurant.