factual

Are B Bops franchisees required to continue independent advertising expenditures during a period when the advertising fee is waived?

B_Bops Franchise · 2025 FDD

Answer from 2025 FDD Document

Independent Advertising Expenditures. As noted in Item 6 of this disclosure document, you will be required to spend a minimum of two percent (2%) of the gross sales of your Franchise for independent advertising during each quarter. This requirement remains in effect even though the Company has waived payment of your fees to the advertising fund and is not providing advertising materials for your use. You may satisfy the independent advertising requirement by implementing advertising and promotional campaigns provided by the Company (during those periods when the Company is required to provide such advertising) or you may create and implement advertising of your own, provided any advertising which you have developed has been submitted to and approved by the Company prior to its use. The Company will advise you within a reasonable period (usually 30 days) whether the proposed advertising materials are acceptable. The Company reserves the right to require you to submit an independent advertising report (along with supporting invoices) at such times as the Company may direct.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 25–33)

What This Means (2025 FDD)

According to B Bops's 2025 Franchise Disclosure Document, franchisees are required to continue independent advertising expenditures even if the company waives the advertising fee. Specifically, franchisees must spend a minimum of 2% of their gross sales on independent advertising each quarter. This requirement remains in effect even if B Bops has waived the advertising fee and is not providing advertising materials.

B Bops franchisees can meet this independent advertising requirement by using advertising and promotional campaigns provided by B Bops (when available) or by creating their own advertising materials. However, any franchisee-developed advertising must be submitted to B Bops for approval before use. B Bops will then advise the franchisee whether the proposed advertising materials are acceptable, typically within 30 days.

B Bops retains the right to request an independent advertising report from franchisees, along with supporting invoices, at any time. This ensures that franchisees are adhering to the 2% spending requirement, even during periods when the advertising fee is waived. This policy ensures consistent local advertising efforts, regardless of the status of the advertising fee.

Disclaimer: This information is extracted from the 2025 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.