factual

What happens if Bigfoot Forestry requires the cooperative advertising fee to be paid to them?

Bigfoot_Forestry Franchise · 2025 FDD

Answer from 2025 FDD Document

Nature and Manner of Payment: All fees are imposed by and payable to us except: (a) you pay the cooperative advertising fee directly to the cooperative (we may instead require you to pay this fee to us, in which case we remit the fee to the cooperative on your behalf); and (b) you spend the Local Marketing Commitment directly with third-party suppliers.

Source: Item 6 — OTHER FEES (FDD pages 12–15)

What This Means (2025 FDD)

According to Bigfoot Forestry's 2025 Franchise Disclosure Document, the cooperative advertising fee is typically paid directly to the cooperative. However, Bigfoot Forestry retains the option to require franchisees to pay this fee directly to them instead. If Bigfoot Forestry exercises this option, they will then remit the fee to the cooperative on the franchisee's behalf.

This arrangement means that while the ultimate destination of the funds remains the cooperative for advertising purposes, Bigfoot Forestry interposes itself as an intermediary. This could provide Bigfoot Forestry with greater oversight and control over the cooperative advertising funds, ensuring that the funds are used in alignment with the overall marketing strategy of the Bigfoot Forestry brand.

For a prospective franchisee, this means they may not have direct control over the payment process for the cooperative advertising fee. Instead, they must rely on Bigfoot Forestry to accurately and promptly remit the funds to the cooperative. It is important for franchisees to understand the implications of this arrangement and to ensure that there are clear lines of communication and accountability in place to track the flow of these funds. Franchisees should also inquire about the specific circumstances under which Bigfoot Forestry might choose to exercise its right to collect the cooperative advertising fee directly.

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.