Does Golden Krust Caribbean Restaurant currently have an advertising council?
Golden_Krust_Caribbean_Restaurant Franchise · 2024 FDDAnswer from 2024 FDD Document
We do not have an advertising 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 Franchise Disclosure Document, Golden Krust Caribbean Restaurant does not currently have an advertising council. However, Golden Krust Caribbean Restaurant retains the right to establish one in the future.
Franchisees are required to pay a weekly advertising fee of 1.5% of the restaurant's gross sales, which is then managed in a dedicated advertising fund. Golden Krust Caribbean Restaurant has full discretion over the advertising programs, including creative content, media placement, and market allocation. The advertising fund can be used for various advertising and marketing activities, such as producing materials, administering programs, purchasing media, and employing agencies.
In addition to the advertising fee, franchisees must spend 1% of their annual gross sales on local marketing efforts, including digital marketing. All advertising materials, whether created by the franchisee or provided by Golden Krust Caribbean Restaurant, must be clear, factual, and ethical, adhering to the company's promotion policies. Franchisees who create their own advertising materials must submit them for approval, and unapproved materials cannot be used.
Golden Krust Caribbean Restaurant also does not have any advertising cooperatives. The company reserves the right to modify or terminate the advertising fund, with any remaining funds to be distributed to franchisees based on their contributions over the preceding year.