What is the maximum amount a Deer Solution franchisee must contribute to the Advertising Cooperative?
Deer_Solution Franchise · 2025 FDDAnswer from 2025 FDD Document
- (5) Franchisee shall contribute to the Advertising Cooperative in the amounts as determined and required by the Advertising Cooperative or, otherwise in accordance with those documents governing the operation of the Advertising Cooperative; provided, however, Franchisee's contributions to the Advertising Cooperative shall not exceed Franchisee's local minimum marketing obligations set forth in Article 9.B. of this Agreement and Franchisee's contributions to the Advertising Cooperative shall count toward satisfaction of Franchisee's minimum local marketing obligations set forth in Article 9.B.;
Source: Item 23 — RECEIPTS (FDD pages 55–246)
What This Means (2025 FDD)
According to Deer Solution's 2025 Franchise Disclosure Document, a franchisee's contributions to the Advertising Cooperative cannot exceed their local minimum marketing obligations as outlined in Article 9.B of the franchise agreement. The amount is determined and required by the Advertising Cooperative itself or in accordance with the documents governing its operation.
This means that while the Advertising Cooperative sets the contribution amounts, Deer Solution franchisees are protected from excessive contributions, as their financial commitment is capped by their local marketing obligations. This arrangement allows for flexibility in advertising strategies while ensuring franchisees aren't overburdened with costs.
Prospective franchisees should carefully review Article 9.B of the Deer Solution franchise agreement to understand their local minimum marketing obligations. They should also inquire about the typical contribution amounts required by the Advertising Cooperative in their specific geographic area to fully understand the potential financial commitment.