Can Bombs Away Franchising establish Market Cooperatives in any geographical area?

According to Bombs Away's 2024 Franchise Disclosure Document, Bombs Away Franchising has the authority to establish market advertising and promotional cooperative funds, referred to as "Market Cooperatives," in any geographical area.

If a Market Cooperative exists in the franchisee's territory when they begin operations, the franchisee must immediately join. If a Market Cooperative is created during the term of the Franchise Agreement, the franchisee is required to become a member within 30 days. Bombs Away Franchising will not require a franchisee to be part of more than one Market Cooperative.

The purpose of these Market Cooperatives is to manage regional advertising and marketing programs and create standardized promotional materials, subject to Bombs Away Franchising's approval. Franchisees should be aware that Bombs Away Franchising has significant control over these cooperatives, including governance, required bylaws, and the ability to attend meetings. The majority vote of the Market Cooperative determines the dues to be paid by members, with the dues being not less than 1% and not more than 5% of Gross Sales. Bombs Away Franchising retains the right to enforce contribution obligations and may terminate any Market Cooperative, with remaining funds transferred to the Marketing Fund.