What advertising expenditures are covered in section 11.1 of the Canine Dimensions ADV agreement?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
of advertising programs to the furtherance of the goodwill and public image of the System, the parties agree as follows:
11.1 Advertising Expenditures
- 11.1.1 Franchisee must pay to Franchisor a monthly advertising fee equal to One Thousand Dollars ($1,000), which will be spent on an Internet Advertising program administered by the Franchisor. Such amount is payable on the first (1st) day of each month in the manner set forth in Section 5.5, and will be used for an Internet Advertising Fund to be administered by the Franchisor, as described in Section 11.3. If the first (1st) day of any month is not a business day, then such amount is payable on the next business day.
- 11.1.2 Subject to the prior written approval of Franchisor, Franchisee may, but is not required to, conduct print advertising in the Protected Territory, and Franchisor may, from time to time, offer the Franchisee approved local marketing plans and materials on the same terms and conditions as the Franchisor is then offering to its other franchisees. Prior to their use by Franchisee, samples of all local marketing materials not prepared or previously approved by Franchisor must be submitted to Franchisor for written approval, which approval will not be unreasonably withheld. All materials submitted to Franchisor for its review will become Franchisor's property and there will be no restriction on Franchisor's use of such materials for any purpose.
- 11.1.3 Franchisee must, during the Term, pay to Franchisor its then-current annual fee for m
Source: Item 22 — CONTRACTS (FDD page 36)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, section 11.1 of the advertising agreement outlines specific advertising expenditures. Franchisees are required to pay a monthly advertising fee of $1,000 to Canine Dimensions. This fee is designated for an Internet Advertising program managed by Canine Dimensions and will be used for an Internet Advertising Fund, as detailed in Section 11.3 of the agreement. The payment is due on the first day of each month, or the next business day if the first is not a business day.
In addition to the mandatory monthly fee, franchisees have the option to conduct print advertising in their protected territory, but this is subject to prior written approval from Canine Dimensions. Canine Dimensions may also offer approved local marketing plans and materials to franchisees on similar terms offered to other franchisees.
It's important to note that any local marketing materials not already prepared or approved by Canine Dimensions must be submitted for written approval before use. All materials submitted become the property of Canine Dimensions, and there are no restrictions on Canine Dimensions' use of these materials for any purpose. Franchisees are also obligated to pay Canine Dimensions' then-current annual fee for maintaining the franchisor's website, which includes a webpage to advertise the franchised business.