Does the Caring Transitions cooperative advertising contribution count towards the national branding fee?
Caring_Transitions Franchise · 2025 FDDAnswer from 2025 FDD Document
Either we or the advertising cooperative will determine the amount of your monthly cooperative advertising contribution, but it cannot exceed 3% of your Gross Receipts unless a majority of the cooperative members agree on a higher contribution. Your cooperative contribution will not be credited toward your national branding fee. Each member of an advertising cooperative will have one vote for each franchise they own. Each franchised business operated by us or an affiliate of ours in an area in which an advertising cooperative has been established, if any, will contribute to the cooperative on the same basis as other members of that cooperative. As of the date of this disclosure document, we have not established any advertising cooperatives.
Source: Item 6 — OTHER FEES (FDD pages 13–16)
What This Means (2025 FDD)
According to Caring Transitions's 2025 Franchise Disclosure Document, the cooperative advertising contribution does not count toward the national branding fee. The FDD specifies that either Caring Transitions or the advertising cooperative determines the amount of the monthly cooperative advertising contribution, which cannot exceed 3% of gross receipts unless a majority of the cooperative members agree to a higher contribution.
This means that franchisees must budget separately for both the national branding fee, which is 2% of Gross Receipts with a $350 monthly minimum, and any local cooperative advertising fees. The cooperative advertising fee is an additional expense, and franchisees cannot offset it by reducing their national branding fee payments.
As of the date of the 2025 Franchise Disclosure Document, Caring Transitions had not established any advertising cooperatives. However, if a cooperative is established in a franchisee's area, they will be required to contribute, adding to their overall marketing expenses.