For Brightstar Care franchisees, what is the requirement for SEM/PPC advertising investments?
Brightstar_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
e Franchise Agreement)
We or our designee will exclusively maintain and administer a general marketing fund (the "General Marketing Fund). We have the right to use General Marketing Fund contributions to develop, produce, and distribute national, regional and/or local advertising and to create advertising materials and public relations which promote the Marks, other marks owned by us or our affiliates when the use of such other marks is associated with use of the Marks, and/or the products and services offered by BrightStar Care Agency Program franchisees (§8.1). We may use the General Marketing Fund to satisfy any and all costs of maintaining, administering, directing, preparing, and producing advertising, including the cost of preparing and producing television, radio, digital media, and print advertising campaigns; the cost of direct mail and outdoor billboard advertising; the direct cost of maintaining the toll-free call-in numbers for services and recruitment; the cost of public relations activities and advertising agencies; the cost of developing and maintaining an Internet website or websites (including costs of developing, maintaining, and integrating portions of such websites related to franchisees' employee recruiting and retention); the cost of developing and maintaining a social media presence; the costs of developing and operating a call center; the cost of developing new revenue streams for franchisees, including sales
collateral, coaching and training to launch or enhance sources of revenue mix for franchises; legislative expenses; and personnel and other departmental costs for advertising for and recruiting and retaining field staff that we internally administer or prepare. Nevertheless, not all BrightStar Care Agency Program franchisees will benefit directly or on a pro rata basis from such expenditures (§8.1).
In 2024, no part of the GMF contributions was used directly to solicit new franchise sales, although we reserve the right to include on the public website or other advertising the notation "Franchises Available" (§8.1). We will use General Marketing Fund contributions to develop and prepare advertising which we will distribute to BrightStar Care Agency Program franchisees for their placement in the local media (§8.1). The advertising will be prepared by us and outside sources. If we do not spend all fund contributions by the end of each of our fiscal year, the funds may be carried forward into the next fiscal year. We may spend in any fiscal year more or less than the total General Marketing Fund contributions in that year, borrow from us or our affiliates (paying reasonable interest) to cover deficits, or invest any surplus for future use.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 47–67)
What This Means (2025 FDD)
According to Brightstar Care's 2025 Franchise Disclosure Document, franchisees benefit from advertising services provided through the General Marketing Fund (GMF). Brightstar Care has the right to use General Marketing Fund contributions to develop, produce, and distribute national, regional and/or local advertising and to create advertising materials and public relations which promote the Marks, other marks owned by us or our affiliates when the use of such other marks is associated with use of the Marks, and/or the products and services offered by BrightStar Care Agency Program franchisees. This includes the cost of preparing and producing television, radio, digital media, and print advertising campaigns; the cost of direct mail and outdoor billboard advertising; the direct cost of maintaining the toll-free call-in numbers for services and recruitment; the cost of public relations activities and advertising agencies; the cost of developing and maintaining an Internet website or websites (including costs of developing, maintaining, and integrating portions of such websites related to franchisees' employee recruiting and retention); the cost of developing and maintaining a social media presence; the costs of developing and operating a call center; the cost of developing new revenue streams for franchisees, including sales collateral, coaching and training to launch or enhance sources of revenue mix for franchises; legislative expenses; and personnel and other departmental costs for advertising for and recruiting and retaining field staff that we internally administer or prepare. Nevertheless, not all BrightStar Care Agency Program franchisees will benefit directly or on a pro rata basis from such expenditures.
Brightstar Care may use the General Marketing Fund to satisfy any and all costs of maintaining, administering, directing, preparing, and producing advertising. This includes digital media, maintaining an internet website, and maintaining a social media presence. Brightstar Care also has the right to determine contributions and expenditures from the General Marketing Fund, or any other advertising program, and the authority to determine the selection of the advertising materials and programs; provided, however, that we will make a good faith effort to expend such funds in the general best interests of the BrightStar Care Agency Program on a national or regional basis.
Brightstar Care is not required to spend any amount of General Marketing Fund contributions in your Protected Territory, and not all BrightStar Care Agency Program franchisees will benefit directly or on a pro rata basis from our expenditures. In 2024, no part of the GMF contributions was used directly to solicit new franchise sales, although we reserve the right to include on the public website or other advertising the notation "Franchises Available".