Who administers the Brand Fund for Southern Steer?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
- 13.3.
Administration.
The Brand Fund will be administered by Franchisor.
Upon Franchisee's written request, Franchisor will send Franchisee an annual unaudited financial statement for the Brand Fund that indicates how the funds in the Brand Fund have been spent during the previous year.
Franchisor does not have the Brand Fund audited, so audited financial statements are not available.
Franchisor will not be required to spend the Brand Fund Contribution in the same Calendar Year in which the payments were made.
All interest accrued by the Brand Fund will be the property of the Brand Fund.
Source: Item 22 — ITEM. 22 CONTRACTS (FDD pages 61–168)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, the Brand Fund is administered by the Franchisor. The Franchisor has the authority to decide how the Brand Fund contributions are spent.
The Brand Fund is intended to maximize public recognition of the Southern Steer system for the benefit of all franchisees and licensees. However, Southern Steer does not guarantee that advertising expenditures from the Brand Fund will directly benefit each franchisee or licensee on a pro-rata basis, nor are they obligated to ensure expenditures are proportionate to contributions in any geographic area.
The Franchisor may use the Brand Fund to cover administrative and overhead costs, including salaries, market research, social media, website development, and the collection and accounting of Brand Fund contributions. The Brand Fund may also borrow from the Franchisor or other lenders to cover deficits or invest any surplus for future use. Franchisees may request an annual unaudited financial statement for the Brand Fund to see how the funds were spent in the previous year.
The Franchisor can terminate the Brand Fund at any time at its sole discretion. If terminated, any remaining balance will be expended as previously provided or returned to franchisees on a pro-rata basis, as determined solely by the Franchisor.