How will Amerispec Inspection Services notify franchisees of adjustments to the Advertising Contribution?
Amerispec_Inspection_Services Franchise · 2025 FDDAnswer from 2025 FDD Document
cs, traffic patterns, competition, and similar factors.
Advertising Programs
National Advertising Fund. All franchisees must contribute the Advertising Contribution to the National Advertising Fund (the "Ad Fund"). As of the date of this Disclosure Document, the Advertising Contribution is the greater of 3% of the monthly Gross Receipts of each Franchised Business or $160 (except the $160 minimum does not apply until 90 days after opening the Franchised Business).
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 24–31)
What This Means (2025 FDD)
According to the 2025 FDD, Amerispec Inspection Services may adjust the Advertising Contribution amount upon written notice to franchisees. Currently, franchisees must contribute to the National Advertising Fund (Ad Fund). As of the date of the 2025 Disclosure Document, this contribution is the greater of 3% of the monthly Gross Receipts of each Franchised Business or $160 (except the $160 minimum does not apply until 90 days after opening the Franchised Business). However, the FDD specifies that the contribution will not exceed 3% of Gross Receipts.
This means that Amerispec Inspection Services franchisees should carefully review any written notices regarding adjustments to the Ad Fund contribution to understand how it may impact their monthly expenses. Franchisees should factor in the potential for these adjustments when creating their financial projections.
It is common for franchisors to retain the right to adjust advertising fees, as market conditions and advertising strategies may change over time. However, the FDD provides some assurance that the contribution will not exceed 3% of Gross Receipts, offering a degree of predictability for franchisees.