Who administers a multi-member Advertising Association for Annex Brands franchisees?

According to Annex Brands' 2025 Franchise Disclosure Document, a multi-member Advertising Association is established to develop cooperative local or regional advertising programs. The administration of this association falls under the purview of either a board of directors, selected in accordance with the association's bylaws, or a regional licensee, if one exists for the franchisee's geographic area.

This means that as a prospective Annex Brands franchisee, you may be subject to the decisions of a board of directors or a regional licensee regarding advertising and promotional activities. The fees and assessments for the Advertising Association are set at the greater of $150 or 1% of gross receipts per month, allocated equitably among the members. These fees are collected via automatic bank draft and are non-refundable.

Furthermore, the board of directors or the regional licensee has the authority to impose special assessments on the association's members periodically. Franchisees are entitled to an annual accounting of expenditures made by the Association, as stipulated in the bylaws. Annex Brands retains the discretion to collect these fees and assessments, potentially using them to fund marketing efforts at the local, regional, or national level. Any unspent funds collected by Annex Brands will roll over into a marketing fund.

As an Annex Brands franchisee, it's crucial to understand the structure and governance of your local Advertising Association, including how the board is selected and the role of any regional licensee. You should also review the association's bylaws to understand your rights and obligations regarding advertising fees, assessments, and access to financial information.