What happens if All County changes or dissolves advertising cooperatives?
All_County Franchise · 2025 FDDAnswer from 2025 FDD Document
Presently, there are no advertising cooperatives or franchisee advertising councils involved in the advertising process, although there are no restrictions on our right to require advertising cooperatives or franchisee advertising councils to be formed, changed, dissolved or merged. Presently we do not have any existing policies in place regarding the formation of any franchisee advertising council, but if we establish one, we will communicate all the policies of the council to you through written updates to our Operations Manual or to our Methods of Operation. The written policies of any franchisee advertising council may include information on how members of the council are selected and whether the council serves in an advisory capacity only or has operational or decision-making power.
We may establish or approve local and/or regional advertising cooperatives in your local or regional areas, covering the geographical areas we may designate in our sole business judgment. Membership in any advertising cooperative will be defined by a geographic area and we will manage the advertising cooperative. The decision whether to join any advertising cooperative will be voluntary for both company owned and franchisee owned locations and franchisees will not be required to join any advertising cooperative. The maximum amount any franchisee will be required to contribute to an advertising cooperative is 1% of annual Gross Revenue. We will allow you to review any governing documents for any advertising cooperative before you decide whether to join it.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 20–26)
What This Means (2025 FDD)
According to All County's 2025 Franchise Disclosure Document, while there are currently no advertising cooperatives or franchisee advertising councils, All County retains the right to form, change, dissolve, or merge them. This means that All County franchisees could be subject to the creation of new advertising cooperatives or the alteration or elimination of existing ones during the term of their franchise agreement.
If All County establishes a franchisee advertising council, the policies of the council will be communicated to franchisees through written updates to the Operations Manual or Methods of Operation. These policies may include information on how members are selected and whether the council serves in an advisory capacity or has decision-making power. This implies that franchisees may have limited control over advertising decisions, depending on the structure and powers of any future advertising councils.
All County may establish or approve local and/or regional advertising cooperatives, with membership defined by geographic area and managed by All County. Participation in these cooperatives is voluntary for both company-owned and franchisee-owned locations. The maximum contribution required for any franchisee to an advertising cooperative is 1% of annual Gross Revenue. Franchisees will be allowed to review the governing documents of any advertising cooperative before deciding whether to join. This provides some level of transparency and choice, but franchisees should be aware that All County ultimately controls the advertising cooperatives.