What happens to the monies in the Brand Building Fund if My Salon Suite terminates it?
My_Salon_Suite Franchise · 2025 FDDAnswer from 2025 FDD Document
- (3) Any monies remaining in the Brand Building Fund at the end of any year will carry over to the next year.
Although the Brand Building Fund is intended to be of perpetual duration, Franchisor may terminate the Brand Building Fund.
The Brand Building Fund will not be terminated, however, until all moniesin theBrandBuilding Fund have been expended for advertising or promotional purposes or returned to contributing respective contributions.
- (4) If Franchisor elects to terminate the Brand Building Fund, Franchisor may, in its sole discretion, reinstate the Brand Building Fund at any time.
If Franchisor chooses to reinstate the Brand Building Fund, the reinstated Brand Building Fund shall be operated as described herein.
Source: Item 23 — RECEIPTS (FDD pages 95–230)
What This Means (2025 FDD)
According to My Salon Suite's 2025 Franchise Disclosure Document, the Brand Building Fund is intended to be of perpetual duration; however, My Salon Suite may terminate it. If My Salon Suite elects to terminate the Brand Building Fund, it will not be terminated until all monies in the Brand Building Fund have been expended for advertising or promotional purposes or returned to contributing respective contributions.
My Salon Suite also has the option to reinstate the Brand Building Fund at any time, should they choose to do so. If reinstated, the Brand Building Fund will be operated as described in the franchise agreement.
This means that franchisees contributing to the Brand Building Fund can expect that the funds will be used for their intended purpose: advertising and promotion. In the event that My Salon Suite decides to end the fund, franchisees can anticipate either a return of their contributions or the money being used for advertising or promotional activities.