If Southern Steer does not have a Brand Fund established, when does the Brand Fund Contribution begin?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
on. We reserve the right to establish a Brand Fund. The purpose of the Brand Fund is to promote expansion and increase brand awareness and preference for the System (See Item 11). The Brand Fund Contribution will be deposited into the Brand Fund administered by Us. You will begin paying the Brand Fund Contribution the same month You commence paying the Royalty or, if We do not have a Brand Fund established at the time, You will commence paying the Brand Fund Contributi
Source: Item 6 — ITEM. 6 OTHER FEES (FDD pages 11–16)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, if a Brand Fund is not established when the franchisee starts paying royalties, the Brand Fund Contribution commences the same month that Southern Steer establishes a Brand Fund. The purpose of the Brand Fund is to promote expansion and increase brand awareness for the Southern Steer system.
The franchisee will begin paying royalties beginning the third month of opening their Southern Steer business. The Brand Fund contribution is 1% of weekly gross revenues and is paid at the same time the royalty is paid. These funds are deposited into a brand and marketing fund controlled by Southern Steer.
Southern Steer retains the right to increase, reduce, or suspend the Brand Fund Contribution with prior notice. This flexibility allows Southern Steer to adjust marketing strategies and funding levels as needed. The Brand Fund is used to promote expansion and increase brand awareness and preference for the Southern Steer system, as detailed in Item 11 of the FDD.