Can Alloy conduct the grand opening marketing campaign on behalf of the franchisee?
Alloy Franchise · 2025 FDDAnswer from 2025 FDD Document
al franchise fee is not refundable.
Grand Opening Marketing Campaign: You must spend $30,000-$40,000 ($30,000 is the minimum requirement) for a pre-sale and grand opening marketing campaign to promote the opening of your Alloy Facility. You must pay these amounts for your grand opening marketing campaign for a period of 8 - 12 weeks prior to the opening of your Alloy Facility and these amounts are not refundable under any circumstances. You must follow the pre-sale marketing plan as described in the Pre-sale Marketing Playbook in the Operations Manual. At our request, you must give us the $30,000-$40,000 for your grand opening marketing campaign and we will conduct the campaign for you. If we collect this money from you, it is not refundable, and we will spend the entire amount on
Source: Item 5 — INITIAL FEES (FDD pages 14–15)
What This Means (2025 FDD)
According to Alloy's 2025 Franchise Disclosure Document, franchisees are required to spend between $30,000 and $40,000 for a pre-sale and grand opening marketing campaign, with $30,000 being the minimum. This campaign is intended to promote the opening of the Alloy facility and must occur 8-12 weeks prior to opening. These amounts are non-refundable under any circumstances. Franchisees are obligated to follow the pre-sale marketing plan detailed in the Pre-sale Marketing Playbook within the Operations Manual.
Alloy offers franchisees the option to have the franchisor conduct the grand opening marketing campaign on their behalf. If a franchisee requests it, they must provide Alloy with the $30,000-$40,000 allocated for the grand opening marketing campaign. Alloy will then manage the campaign, ensuring that the entire amount is spent on the franchisee's grand opening marketing efforts.
It is important to note that if Alloy conducts the campaign, the money is not refundable. This arrangement provides a hands-off option for franchisees who may prefer Alloy's expertise in managing the marketing campaign, but it also means relinquishing control over the specific marketing activities and ensuring close oversight of how the funds are spent.