Is Crawlspace Medic obligated to provide for placement of local advertising on behalf of franchisees?
Crawlspace_Medic Franchise · 2024 FDDAnswer from 2024 FDD Document
We do not provide for placement of local advertising on your behalf, and we have no obligation to spend any amount on advertising in your area or territory. You are responsible for local advertising placement. You must list the Franchised Business in local business directories, including, but not limited to, listings on Internet search engines. If feasible, you may do cooperative advertising with other Crawlspace Medic franchisees in your area, with our prior written approval. You may not maintain any business profile on Facebook, Twitter, LinkedIn, YouTube or any other social media and/or networking site without our prior written approval.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 23–29)
What This Means (2024 FDD)
According to Crawlspace Medic's 2024 Franchise Disclosure Document, Crawlspace Medic is not obligated to provide for the placement of local advertising on behalf of its franchisees. The franchisee is responsible for local advertising placement. Crawlspace Medic has no obligation to spend any amount on advertising in the franchisee's area or territory.
However, Crawlspace Medic reserves the right to collect grand opening funds or local advertising expenditure to implement grand opening campaign activities or local advertising on the franchisee's behalf. Franchisees are required to spend at least $5,000 in market introduction advertising and promotional activities during the 60 days prior to and 90 days following the opening of their franchised business. Additionally, franchisees must spend a minimum of $5,000 per quarter on local advertising, and all advertising materials must be approved by Crawlspace Medic.
Franchisees may develop advertising materials at their own cost and use marketing materials offered by Crawlspace Medic from time to time. All advertising and marketing materials, including press releases, must be approved in advance in writing by Crawlspace Medic, and disapproval is automatic if Crawlspace Medic does not respond to a request within ten business days. Franchisees must list the franchised business in local business directories and may do cooperative advertising with other Crawlspace Medic franchisees in their area with prior written approval. Franchisees may not maintain any business profile on social media without Crawlspace Medic's prior written approval.