Is a Brain Balance franchisee required to conduct local advertising?
Brain_Balance Franchise · 2025 FDDAnswer from 2025 FDD Document
he territory in which they are to appear; the form thereof; the media and the budget therefore; and all other relevant decisions regarding the implementation of such advertising and promotion programs.
- (e) FRANCHISEE shall spend a minimum of $6,000 per calendar month or nine percent (9.0%) of its Gross Revenue, whichever is greater, for local advertising in accordance with COMPANY's direction as to allocation among various marketing channels.
- (f) If FRANCHISOR recommends an Advertising Cooperative ("Advertising Co-op") in FRANCHISEE's designated marketing area ("DMA") and one is established, FRA
Source: Item 22 — CONTRACTS (FDD pages 70–72)
What This Means (2025 FDD)
According to Brain Balance's 2025 Franchise Disclosure Document, franchisees are required to engage in local advertising. Specifically, a Brain Balance franchisee must spend a minimum of $6,000 per calendar month or 9% of their gross revenue, whichever is greater, on local advertising. The allocation of these funds among various marketing channels is determined by Brain Balance. This ensures consistent brand messaging and allows Brain Balance to guide marketing efforts.
In addition to the mandatory local advertising, Brain Balance may recommend that franchisees join an Advertising Cooperative (Ad Co-op) within their designated marketing area (DMA). If an Ad Co-op is established, franchisees are required to join it by executing the applicable by-laws and contributing at least the amount set forth in Section 6.07 of the FDD. Payments made to the media fund for the Advertising Co-op will count toward the franchisee's local advertising obligations.
These requirements ensure that Brain Balance franchisees actively promote their centers within their local markets, while also adhering to the brand's standards and guidelines. The mandatory spending and potential Ad Co-op participation represent a significant ongoing expense for franchisees, but also provide a framework for effective local marketing efforts. Prospective franchisees should carefully consider these costs and the franchisor's control over marketing strategies when evaluating the Brain Balance franchise opportunity.