factual

How are the franchisee members of the All Team National Advertising Council (NAC) elected, and how often?

All_Team Franchise · 2025 FDD

Answer from 2025 FDD Document

The Fund shall be maintained and administered by ATFC as follows: A National Advertising Council ("NAC") shall make strategic planning decisions. ATFC shall retain sole right to make any dayto-day decisions necessary to carry out the strategic planning decisions of the NAC. The NAC shall be comprised of four members made up of franchisees and the Director who will be an employee of ATFC. The franchisee members shall be elected annually by all franchisees of the System based upon one vote for each Agency which is in full compliance with its Franchise Agreement. The three franchisees with the highest number of votes shall serve, and if there is a tie, ATFC will decide.

Source: Item 22 — CONTRACTS (FDD pages 33–34)

What This Means (2025 FDD)

According to All Team's 2025 Franchise Disclosure Document, the National Advertising Council (NAC) plays a role in strategic planning decisions for the advertising fund, though All Team retains the right to make day-to-day decisions. The NAC consists of four members: three franchisees and the Director, who is an All Team employee.

The franchisee members are elected annually by all franchisees in the All Team system. Each agency in full compliance with its Franchise Agreement gets one vote. The three franchisees receiving the highest number of votes are elected to the NAC. In the event of a tie, All Team will decide who serves on the council.

This structure gives franchisees a voice in the national advertising strategy, but it's important to note that All Team reserves the right to modify aspects of the NAC, except for voting eligibility. Franchisees should be aware that All Team is not obligated to spend advertising funds in a way that directly benefits each franchisee proportionally to their contribution.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.