factual

When must a Bhc franchisee submit a marketing report of their Local Advertising?

Bhc Franchise · 2025 FDD

Answer from 2025 FDD Document

Franchisee must submit to Franchisor a Local Advertising plan which details the Local Advertising for the next 12-month period for Franchisor's approval.

Within thirty (30) days after the end of each of the above-mentioned periods, Franchisor will provide a template to Franchisee and Franchisee must submit to Franchisor, a fully completed marketing report of Franchisee's Local Advertising for the preceding concluded period in form and substance specified by Franchisor, including evidence to verify such expenditure during such period.

Source: Item 23 — Receipts (FDD pages 52–230)

What This Means (2025 FDD)

According to Bhc's 2025 Franchise Disclosure Document, a franchisee must submit a marketing report of their Local Advertising to Bhc within thirty (30) days after the end of each period. Prior to this submission, Bhc will provide a template to the franchisee for completion. The report must be fully completed and include evidence to verify the expenditures made during the period.

This requirement is tied to the franchisee's obligation to spend at least 1% of their annual gross revenues on local marketing, advertising, and promotion, commencing with the third full calendar month after the Opening Date. The Local Advertising must utilize marketing and promotional materials pre-approved or authorized in writing by Bhc. Additionally, the franchisee must submit a Local Advertising plan to Bhc for approval, detailing the planned activities for the next 12-month period.

Submitting timely and accurate marketing reports is crucial for Bhc franchisees to demonstrate compliance with their local advertising obligations. Failure to do so could potentially lead to penalties or other enforcement actions by Bhc. This level of oversight is common in franchising, as franchisors need to ensure brand consistency and effective marketing efforts across all locations. Prospective franchisees should carefully review the requirements for local advertising and reporting to ensure they can meet these obligations.

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.