factual

What is the current monthly Marketing Fee for an Aplus franchise?

Aplus Franchise · 2024 FDD

Answer from 2024 FDD Document

based upon that particular franchisee's qualifications, the peculiarities of the particular site or circumstances, the demographics of the trade area, business potential, existing business practices or any other condition which Franchisor deems to be of importance to the successful operation of any particular Franchised Business. Franchisor shall not be required to disclose or grant to Franchisee a like or similar variance hereunder.

11. ADVERTISING AND PROMOTIONAL ACTIVITIES

11.1. Marketing Fee.

Franchisor has established and administers a System-wide marketing, advertising and promotion program to facilitate regional advertising and marketing efforts. Beginning on the Commencement Date Franchisee shall contribute to the marketing program a marketing fee not to exc

Source: Item 23 — RECEIPT (FDD pages 68–302)

What This Means (2024 FDD)

According to Aplus's 2024 Franchise Disclosure Document, franchisees must contribute to a System-wide marketing, advertising, and promotion program. This Marketing Fee is due monthly on the tenth of the month, paid in the same manner as the Royalty Fee.

The Marketing Fee is the lesser of $1,500 or 2% of monthly Gross Sales, but is currently set at $750 per month. Aplus will notify franchisees at least 30 days before changing the Marketing Fee requirements.

Aplus maintains sole control over the Marketing Program, including creative concepts, services, and media used. The Marketing Program may be local, regional, or System-wide, and Aplus does not guarantee any franchisee will directly benefit from expenditures. Aplus has the right to determine how Marketing Fees are spent and is not obligated to spend all fees collected in any particular market or fiscal year, nor are they obligated to provide reports on Marketing Fee expenditures. This means that while franchisees are required to pay the Marketing Fee, Aplus has significant discretion in how those funds are used, with no guarantee of direct benefit to the franchisee and limited reporting on expenditures.

Disclaimer: This information is extracted from the 2024 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.