Does Southern Steer guarantee that advertising expenditures from the Brand Fund will directly benefit any Southern Steer franchisee?

According to the 2025 Southern Steer Franchise Disclosure Document, Southern Steer does not guarantee that advertising expenditures from the Brand Fund will directly benefit any franchisee. The FDD specifies that Southern Steer is not obligated to ensure that Brand Fund expenditures in any geographic area are proportionate or equivalent to the contributions of franchisees operating in that area. Furthermore, Southern Steer does not guarantee that any franchisee will benefit directly or in proportion to its contribution to the Brand Fund from the development of advertising and marketing materials or the placement of advertising.

This means that while franchisees are required to contribute to the Brand Fund, there is no assurance that the funds will be used in a way that directly benefits their specific location or market. The allocation of Brand Fund resources is at the discretion of Southern Steer, which may choose to focus on broader, national-level advertising campaigns or initiatives.

For a prospective franchisee, this highlights the importance of understanding the franchisor's marketing strategy and how the Brand Fund is managed. While contributing to a Brand Fund can offer benefits through increased brand awareness and national campaigns, franchisees should be aware that they may not see a direct return on their investment in terms of local advertising or increased sales in their specific area. It is essential to evaluate the potential benefits of the Brand Fund in the context of their own local marketing efforts and business goals.