Who owns the interest accrued by the Southern Steer Brand Fund?

According to Southern Steer's 2025 Franchise Disclosure Document, any interest accrued by the Brand Fund is the property of the Brand Fund itself. This means that any earnings generated from the Brand Fund's assets, such as through investments, will be reinvested back into the fund. The Brand Fund is used to maximize general public recognition and patronage of the Southern Steer system.

Southern Steer franchisees contribute to this fund through a weekly Brand Fund Contribution equal to 1% of their weekly gross revenues. While franchisees contribute to the fund, they do not directly benefit from the interest accrued, as it remains within the Brand Fund to support its activities. These activities include advertising, marketing, and other initiatives aimed at promoting the Southern Steer brand.

The Brand Fund is administered by Southern Steer, which has the discretion to determine how the funds are spent. This includes various expenses such as media advertising, salaries, administrative costs, website development, market research, and brand conferences. Franchisees can request an annual unaudited financial statement for the Brand Fund to see how the funds were spent in the previous year.

It's important to note that Southern Steer does not have the Brand Fund audited, so audited financial statements are not available. Additionally, Southern Steer can terminate the Brand Fund at any time, and in that event, any remaining balance will be either expended as provided for in Section 13.2 or returned to franchisees on a pro-rata basis, at Southern Steer's sole determination.