Is the Caring Transitions Cooperative Contribution credited towards the National Branding Fee?

According to Caring Transitions' 2025 Franchise Disclosure Document, the Cooperative Contribution is not credited towards the National Branding Fee. The FDD specifies that franchisees will contribute to a Cooperative, if one exists for their area, and this contribution is separate from the National Branding Fee.

Franchisees may be required to participate in a local or regional marketing and advertising cooperative if designated by Caring Transitions. The purpose of these cooperatives is to administer local advertising programs and develop standardized promotional materials, subject to Caring Transitions' approval. The amount of the Cooperative Contribution is determined either by Caring Transitions or by the Cooperative itself, but it cannot exceed 3% of the franchisee's gross receipts unless a majority of the cooperative members agree to a higher amount.

Franchisees are required to pay the Cooperative Contribution monthly, no later than the tenth day of each month, along with any required statements or reports. This payment is in addition to the National Branding Fee, which is 2% of gross receipts or $350 per month, whichever is greater. The National Branding Fee is used for national-level advertising and promotional activities to benefit all Caring Transitions franchisees.

Therefore, prospective Caring Transitions franchisees should budget for both the National Branding Fee and the potential Cooperative Contribution, as the Cooperative Contribution does not offset the National Branding Fee. Understanding the financial obligations associated with both fees is crucial for managing expenses and ensuring compliance with the franchise agreement.