By what day of each month must the Body Brain Center advertising fund fee be paid?
Body_Brain_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
On the sixth (6 th) day of each month, you must pay us an advertising fund fee equal to 0.5% of your Program Sales for the prior month's operations. 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 made to the advertising fund, any company-owned Body & Brain Center or Body & Brain home-based business that is established or acquired after the modification may contribute to the advertising fund utilizing the modified amount or timing. Except as stated in this Section, we have no obligation to expend our own funds or resources for any Advertising Campaign.
Source: Item 23 — RECEIPT (FDD pages 43–178)
What This Means (2025 FDD)
According to Body Brain Center's 2025 Franchise Disclosure Document, franchisees are required to pay the advertising fund fee by the 6th day of each month. This fee is calculated as 0.5% of the franchisee's Program Sales from the previous month. Body Brain Center will deposit all advertising fund fees paid by franchisees, fines paid by franchisees, and rebates or other payments received from suppliers based on franchisee purchases into the advertising fund.
This means that as a Body Brain Center franchisee, you must accurately track your Program Sales each month to calculate the advertising fund fee. It is crucial to ensure that the payment is made on or before the 6th of the following month to avoid any late payment penalties or potential breach of the franchise agreement. The advertising fund is used to support marketing and advertising efforts for the Body Brain Center brand, which should benefit all franchisees by increasing brand awareness and attracting more customers.
Body Brain Center also contributes to the advertising fund on the same basis as franchisees for any company-owned centers. However, Body Brain Center retains the right to modify the amount or timing of contributions for company-owned centers established or acquired after any modifications to the advertising fund contribution terms. Franchisees should stay informed about any changes to the advertising fund and how it may impact their financial obligations and the overall marketing strategy of the franchise system.