Are company-owned Body Brain Center locations required to contribute to the advertising fund?
Body_Brain_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
You must pay us an advertising fund fee equal to 0.5% of your Program Sales (defined in Item 6). We will deposit into the advertising fund all: (i) advertising fund fees paid by you and other franchisees (unless we allocate the fees to an advertising cooperative); (ii) fines paid by you and other franchisees; and (iii) rebates or other payments we receive from suppliers based on franchisee purchases. Any company-owned Body & Brain Center or Body & Brain home-based business will contribute to the advertising fund on the same basis as our franchisees. However, if we modify the amount or timing of the contributions that must be
Source: Item 11 — FRANCHISOR'S ASSISTANCE**, ADVERTISING, **COMPUTER SYSTEMS AND TRAINING (FDD pages 20–29)
What This Means (2025 FDD)
According to Body Brain Center's 2025 Franchise Disclosure Document, company-owned locations are required to contribute to the advertising fund. Any company-owned Body & Brain Center or Body & Brain home-based business will contribute to the advertising fund on the same basis as franchisees, which is 0.5% of Program Sales.
However, Body Brain Center retains the right to modify the amount or timing of contributions for company-owned locations established or acquired after such modifications. This means that while initially company-owned locations contribute on the same basis as franchisees, the franchisor can change this contribution structure for newly established or acquired company-owned locations.
This policy ensures that company-owned locations support the advertising fund, aligning their interests with those of franchisees in promoting the Body Brain Center brand. Prospective franchisees should be aware that the contribution terms for company-owned locations may change in the future, potentially affecting the overall advertising fund dynamics.