Is the Canine Dimensions Internet Advertising Fund audited?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
The Internet Advertising Fund is not audited. Upon sending us a written request that is at least 120 days after the end of the fiscal year for which you seek the accounting, we will provide to you an annual accounting for the Internet Advertising Fund that shows how the Internet Advertising Fund proceeds have been spent for the previous year. (Franchise Agreement, Section 11.3)
Advertising by You
You may only use advertising materials that have been approved by us. We have the right to review and approve or disapprove all advertising and promotional materials that you propose to use.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 19–23)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, the Internet Advertising Fund is not audited. However, Canine Dimensions will provide an annual accounting of the fund, showing how the proceeds were spent in the previous year, if a franchisee submits a written request at least 120 days after the end of the fiscal year.
In fiscal year 2024, Canine Dimensions collected $499,450 for the Internet Advertising Fund. Of that amount, 96% was used for placement of Internet advertising and 4% was used for administrative expenses.
While the fund is not formally audited, the provision of an annual accounting offers some transparency to franchisees. It allows them to see how the money contributed to the fund is being spent, even though it lacks the independent verification of an audit. Franchisees should consider whether this level of transparency is sufficient for their comfort, or if they would prefer a franchise system with a more rigorous auditing process for its advertising funds. Franchisees may want to inquire with Canine Dimensions about the details included in the annual accounting to determine if it provides enough clarity on the fund's expenditures.