What is the range of the Co-Op allocation rate that Amerispec Inspection Services franchisees are eligible for?
Amerispec_Inspection_Services Franchise · 2025 FDDAnswer from 2025 FDD Document
ss hours; being in compliance with its obligations as a franchisee; and timely submitting receipts to the Co-Op.
In 2024, each franchisee's Co-Op funds were based on their 2024 customer level revenue (CLR). A franchisee is eligible for a 1-1.5% Co-Op allocation rate depending on its CLR threshold or a minimum of $400. For calculating the 2024 allocations, the franchisee's total Gross Receipts reported from 2024 is multiplied by the applicable NAF Co-Op rate in which it falls. For example, a business that generated $35,000 in CLR in 2024 would be eligible for a Co-Op allotment of $35,000 x .01 (the allocation rate for this threshold of CLR) = $350. However, any owner that contributed to 2024 NAF is eligible for a minimum of $400. We currently permit participants in Co-Ops to submit receipts of such shared expenses to us, and we may, in turn, use the Ad Fund to reimburse such participants for a portion of such shared expenditures. We shall determine the percentage of such Co-Op expenditures that may be reimbursed from the Ad Fund, if any. The Co-Op will not have prepared annual financial statements. We have the sole right to form, ch
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 24–31)
What This Means (2025 FDD)
According to Amerispec Inspection Services's 2025 Franchise Disclosure Document, franchisees may be eligible for a Co-Op allocation rate between 1% and 1.5%, depending on their customer level revenue (CLR). This Co-Op program is designed to encourage franchisees to invest in local advertising and marketing efforts, supplementing the national-level initiatives funded by the Ad Fund. The Co-Op funds are fully supported by the Ad Fund and administered by Amerispec Inspection Services.
To qualify for the Co-Op program, franchisees must meet specific performance standards, including being current on all fees and reporting, maintaining up-to-date accounts receivable, ensuring live answering services during business hours, complying with all franchisee obligations, and submitting receipts to the Co-Op in a timely manner. The allocation is calculated by multiplying the franchisee's total gross receipts from the previous year by the applicable Co-Op rate.
For example, if an Amerispec Inspection Services franchisee generated $35,000 in CLR in 2024, they would be eligible for a Co-Op allotment of $350, calculated as $35,000 multiplied by 0.01 (1%). However, any owner that contributed to the National Adverting Fund (NAF) in 2024 is eligible for a minimum of $400. Amerispec Inspection Services determines the percentage of Co-Op expenditures that may be reimbursed from the Ad Fund. The franchisor retains the right to modify or dissolve the Co-Op program.