Does Devon Creek have the right to manage the grand opening advertising campaign on behalf of the franchisee?

According to Devon Creek's 2024 Franchise Disclosure Document, Devon Creek does reserve the right to manage the grand opening advertising campaign on behalf of the franchisee. The franchisee is required to spend $8,000 on local advertising and promotional activities in their territory during the opening of their franchised business, following the specifications set by Devon Creek. After the grand opening, the franchisee must spend at least $1,000 per month on local advertising.

However, Devon Creek retains the right to collect some or all of the franchisee's grand opening funds. If Devon Creek exercises this right, it will then implement grand opening campaign activities on the franchisee's behalf. The initial launch marketing costs are estimated to be between $3,000 and $18,000.

This means that while franchisees are initially responsible for local advertising, Devon Creek can step in to manage the grand opening campaign using the franchisee's funds. Franchisees also have the option to spend additional amounts to conduct a larger, more elaborate grand opening event. This provides Devon Creek with control over the initial marketing efforts, ensuring brand consistency and potentially leveraging economies of scale. Prospective franchisees should clarify with Devon Creek the specific circumstances under which the franchisor would take over the grand opening campaign and how these decisions are made.