To whom do Bor Restoration franchisees pay the Local Advertising Fee?
Bor_Restoration Franchise · 2024 FDDAnswer from 2024 FDD Document
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| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| (Note 1) Local Advertising | The greater of $1,500 or | As incurred. | You pay local suppliers, subject to our |
| Fee | 5% of Gross Sales per month. | approval. The Local Advertising Fee will also be used for internet advertising (Item 11). We may require your expenditures to be used in the Regional Advertising Cooperative. We may increase this amount at any time to no more than 6% or $2,000 after first giving you no less than 60 days prior writt |
Source: Item 6 — Other Fees (FDD pages 10–15)
What This Means (2024 FDD)
According to Bor Restoration's 2024 Franchise Disclosure Document, the Local Advertising Fee is paid to local suppliers, subject to Bor Restoration's approval. This fee is the greater of $1,500 or 5% of Gross Sales per month.
The Local Advertising Fee can also be used for internet advertising, as specified in Item 11 of the FDD. Bor Restoration may require franchisees' expenditures to be used in the Regional Advertising Cooperative.
Bor Restoration retains the right to increase the Local Advertising Fee at any time, but it cannot exceed 6% or $2,000. The company must provide no less than 60 days prior written notice before increasing the fee. This structure allows Bor Restoration some flexibility in adjusting advertising contributions while also providing franchisees with advance notice of any changes.