What happens to funds remaining in the Canine Dimensions Internet Advertising Fund at the end of the year?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
Any funds remaining in the Internet Advertising Fund at the end of any year will carry over to the next year. Franchisor will use all interest earned on Internet Advertising Fund contributions to pay costs before using the Internet Advertising Fund's other assets. Franchisor will prepare an annual, unaudited statement of Internet Advertising Fund collections and expenses and give Franchisee the statement upon written request.
Source: Item 22 — CONTRACTS (FDD page 36)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, any funds remaining in the Internet Advertising Fund at the end of any year will be carried over to the next year. Additionally, Canine Dimensions will use all interest earned on Internet Advertising Fund contributions to pay costs before using the fund's other assets.
This means that the money franchisees contribute to the Internet Advertising Fund isn't 'use it or lose it' within a single year. Instead, any unspent funds accumulate and are available for future advertising and marketing initiatives. This could benefit franchisees by allowing Canine Dimensions to build up a larger advertising war chest over time, potentially leading to more impactful campaigns.
The FDD also states that Canine Dimensions will provide an annual, unaudited statement of the Internet Advertising Fund's collections and expenses to franchisees upon written request. This provides a degree of transparency, allowing franchisees to see how the fund is being managed and how their contributions are being spent. Franchisees should request and carefully review these statements to ensure the fund is being managed responsibly and in accordance with the franchise agreement.