What is a Local Advertising Cooperative (LAC) for Central Bark Doggy Day Care?
Central_Bark_Doggy_Day_Care Franchise · 2025 FDDAnswer from 2025 FDD Document
We or our affiliates or designees may establish a local advertising cooperative ("LAC") in any geographic area where two or more CENTRAL BARK facilities operate. Each LAC will be organized and governed by written documents in a form and manner, and begin operating on a date, that we determine in advance. These documents will be made available for review by participating franchisees. We may change, dissolve, or merge LACs at our discretion. The purpose of each LAC is, with our approval, to administer advertising programs and develop advertising, marketing, and promotional materials for the geographic area it covers. If, at the time you sign the Franchise Agreement, a LAC has been established for your area—or if one is established during the term of your Franchise Agreement—you must sign the required documents to become a member, participate in the LAC, and contribute your share as required by the LAC's governing documents. The LAC contribution amount will be determined by the LAC members and is currently anticipated not to exceed 2% of Gross Sales, although a majority of the members may approve a higher rate. Your LAC contributions will be credited toward your required Local Expenditures and may be capped as provided in the LAC's bylaws, subject to our approval. You must pay your LAC contributions electronically, and we will remit those contributions to the LAC periodically. CENTRAL BARK facilities owned by us or our affiliates will contribute to the LAC on the same percentage basis as franchisees.
Each CENTRAL BARK facility contributing to a LAC will have one vote on matters involving the LAC's activities. The LAC may not use any advertising, marketing, or promotional plans or materials without our prior written consent. Subject to our approval, the LAC will have discretion over the creative concepts, materials, and endorsements it uses. LAC contributions may be used to pay for the preparation and production of video, audio, and written advertising and direct sales materials; the purchase of direct mail and other media advertising; the implementation of direct sales programs; and the engagement of marketing, advertising, and public relations firms to assist with the development and administration of marketing programs for CENTRAL BARK facilities in the LAC's area.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 24–32)
What This Means (2025 FDD)
According to Central Bark Doggy Day Care's 2025 Franchise Disclosure Document, a Local Advertising Cooperative (LAC) is a group that may be established by Central Bark Doggy Day Care or its affiliates in geographic areas where two or more Central Bark facilities operate. The purpose of the LAC is to administer advertising programs and develop marketing materials for the area it covers, with the franchisor's approval.
If an LAC is established in a franchisee's area, the franchisee must become a member and contribute their share as required by the LAC's governing documents. The contribution amount is determined by the LAC members and is currently anticipated not to exceed 2% of Gross Sales, although a majority of the members may approve a higher rate. These LAC contributions can be credited toward the franchisee's required local advertising expenditures and may be capped as provided in the LAC's bylaws, subject to Central Bark Doggy Day Care's approval.
Each Central Bark Doggy Day Care facility contributing to an LAC has one vote on matters involving the LAC's activities. The LAC cannot use any advertising materials without Central Bark Doggy Day Care's prior written consent but has discretion over the creative concepts, materials, and endorsements it uses, subject to the franchisor's approval. LAC contributions may be used for various advertising and marketing activities, such as preparing video, audio, and written advertising, purchasing media advertising, implementing direct sales programs, and engaging marketing firms.