Can Kitchen Solvers designate a third party to administer the Brand Fund?
Kitchen_Solvers Franchise · 2025 FDDAnswer from 2025 FDD Document
In addition to your local marketing obligations, you must pay us a Brand Fund Fee in an amount equal to 1% of your monthly Gross Sales. We may increase the maximum annual contribution upon 30 days' prior written notice to you.
The Brand Fund Fee will be deposited into a Brand Fund (the "Fund"). We will administer the Fund in our sole and absolute discretion. We may administer the Fund ourselves or designate or license one or more third parties to do so. Any company-owned or affiliate-owned KITCHEN SOLVERS® businesses we (or our affiliates) operate will contribute to the Fund at the same rate as similarly situated franchisees. We may formulate, develop, and conduct marketing and promotion programs out of the Fund to promote the KITCHEN SOLVERS® system and products in a form and media we determine in our sole judgment to be appropriate. We have sole discretion over the creative concepts, materials, media, type, nature, scope, frequency, place, form, copy, layout and content of all advertising and marketing paid out of the Fund. Media used for any marketing program may include internet, social media, television, radio, newspapers, magazines and other written publications, which all may be local, regional or national in coverage. We may use national and regional marketing and advertising agencies from time to time to create and place advertising and other marketing communications. We reserve the right to use the Fund to reimburse us for all costs that we incur related to the marketing and promotion programs, including the proportionate compensation of employees who devote time and render service in the conduct, formulation, development and production of the marketing and promotion programs or the administration of the Fund.
We have no obligations to spend any amount on marketing in the area or Territory where you are located. We are not required to ensure that you benefit directly or pro-rata from placement of advertising or marketing. Excess Fund contributions not spent in any fiscal year will be carried
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 26–31)
What This Means (2025 FDD)
According to Kitchen Solvers' 2025 Franchise Disclosure Document, Kitchen Solvers has the authority to administer the Brand Fund themselves or designate a third party to do so. The Brand Fund is supported by a Brand Fund Fee, which is 1% of the franchisee's monthly Gross Sales. Kitchen Solvers may increase the maximum annual contribution to the fund with 30 days' prior written notice.
Kitchen Solvers maintains sole and absolute discretion over how the Brand Fund is administered. This includes the ability to formulate, develop, and conduct marketing and promotion programs to promote the Kitchen Solvers system and products. Kitchen Solvers also has sole discretion over the creative aspects of all advertising and marketing paid for by the fund, including the media used, such as internet, social media, television, radio, newspapers, and magazines.
Company-owned or affiliate-owned Kitchen Solvers businesses contribute to the Brand Fund at the same rate as franchisees. Kitchen Solvers can use national and regional marketing and advertising agencies and may use the fund to cover costs related to marketing and promotion programs, including employee compensation for those involved in these programs or fund administration. However, Kitchen Solvers is not obligated to spend any specific amount on marketing in a franchisee's area or territory, nor are they required to ensure direct or pro-rata benefits from advertising or marketing efforts. Any excess funds not spent in a fiscal year will be carried over.