How will the monthly advertising fee paid by Canine Dimensions franchisees be used?
Canine_Dimensions Franchise · 2025 FDDAnswer from 2025 FDD Document
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.
Franchisor intends the Internet Advertising Fund to maximize recognition of the Marks and patronage of Canine Dimensions Businesses. Although Franchisor will try to use the Internet Advertising Fund to develop advertising and marketing materials and programs, and to place advertising and marketing, that will benefit all Canine Dimensions Businesses, Franchisor need not ensure that Internet Advertising Fund expenditures in or affecting any geographic area are proportionate or equivalent to the Internet Advertising Fund contributions by Businesses operating in that geographic area or that any Business benefits directly or in proportion to its Internet Advertising Fund contribution from the development or placement of advertising and marketing materials. Franchisor has the right, but no obligation, to use collection agents and institute legal proceedings to collect Internet Advertising Fund contributions at the Internet Advertising Fund's expense. Franchisor also may forgive, waive, settle and compromise all claims by or against the Internet Advertising Fund.
Franchisor may at any time defer or reduce the Internet Advertising Fund contributions of a Canine Dimensions Business and may reduce or suspend Internet Advertising Fund contributions and operations for one or more periods of any length and terminate (and, if terminated, reinstate) the Internet Advertising Fund. If Franchisor terminates the Internet Advertising Fund, Franchisor will distribute all unspent monies to all Canine Dimensions Businesses (whether franchised or operated by Franchisor or its affiliates) who contributed to it during the preceding twelve (12) month period.
Source: Item 22 — CONTRACTS (FDD page 36)
What This Means (2025 FDD)
According to Canine Dimensions' 2025 Franchise Disclosure Document, franchisees must pay a monthly advertising fee of $1,000. This fee goes towards an Internet Advertising program managed by Canine Dimensions, which is used to create an Internet Advertising Fund.
Canine Dimensions intends to use this fund to increase recognition of their brand and encourage customers to choose Canine Dimensions businesses. The fund will be used to develop advertising and marketing materials and programs, as well as to place advertising and marketing. However, Canine Dimensions does not guarantee that the amount spent in a specific geographic area will be equal to the contributions from franchisees in that area, or that any franchisee will directly benefit in proportion to their contribution.
Canine Dimensions has the right to use collection agents or legal proceedings to collect unpaid advertising fees, and can also forgive, waive, settle, or compromise claims related to the fund. Canine Dimensions can also defer, reduce, suspend, or terminate the Internet Advertising Fund. If the fund is terminated, any unspent money will be distributed to all Canine Dimensions businesses that contributed to the fund during the previous 12 months.