What is the 'Advertising Obligations' definition for Engineering For Kids franchisees?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
as described above regarding the System Fund.
Local Marketing and Promotion
As explained above in this Item 11 (in the first two paragraphs above under "Ongoing Advertising"), we may, and currently do, designate a portion of the Advertising Obligations as the minimum amounts that you must independently spend on local marketing and advertising within your Territory. At our request, you must submit appropriate documentation to verify compliance with any local marketing and advertising spending obligations. We have the right to periodically designate in the Manual the types of expenditures that will or will not count toward your minimum spending requirement.
You must advertise your Business in online directories, as may be specified in the Manual. If you advertise jointly with other franchisees, your share of the cost will count toward your local marketing expenditure requirement.
You agree to conduct all advertising in a dignified manner and to conform to the standards and requirements we periodically specify in the Manual or in other written materials. All local marketing, advertising, and promotion must be in the media, and of the type and format, as we may approve. We will make available to you approved advertising and promotional materials, including signs, posters, collaterals, etc. that we have prepared. We will have the final decision on all creative development of advertising and promotional messages. You must submit to us, for our approval before your use, all proposed plans, promotion materials, and advertising that we did not prepare or approve in the previous year. If you do not receive our written approval within 10 business days from the date we receive the material, the material is deemed disapproved. We reserve the right to require you to discontinue the use of any advertising or marketing materials.
We may periodically require you to participate in and comply with special promotional activities for Engineering For Kids Businesses generally or in specific geographic areas or for specific types of venues. You must bear your own costs of participating locally in such promotions. (Franchise Agreement, Section 9.5)
We may periodically require you to participate in and comply with special promotional activities for Engineering For Kids Businesses generally or in specific geographic areas or for specific types of venues. You must bear your own costs of participating locally in such promotions. (Franchise Agreement, Section 9.7)
"Online Sites" (as defined below) are considered as "advertising" under the Franchise Agreement, and are subject (among other things) to our review and prior written approval before they may be used (as described above). As used in the Franchise Agreement, the term "Online Site" means one or more related documents, designs, pages, or other communications that can be accessed through electronic means, including, but not limited to, the Internet, World Wide Web, webpages, microsites, social networking sites (for example, Facebook, Twitter, LinkedIn, You Tube, Google Plus, Pinterest, etc.), blogs, vlogs, applications to be installed on mobile devices (for example, iPad or Android apps), and other applications, etc. You may neither establish nor permit any other party to establish an Online Site relating to refers to the Engineering
For Kids Business, Proprietary Marks, us, or the System. Additionally, you may not offer, promote, or sell any products or services, or make any use of the Proprietary Marks, through the Internet or an Online Site without our prior written approval. If we decide to grant our consent, we have the right to require that you adhere to certain rules and standards concerning any Online Site. These may include: (1) before establishing any Online Site, you must submit to us, for our prior written approval, a sample of the proposed Online Site, including its domain name, format, visible content (including, without limitation, proposed screen shots), and non-visible content (including meta tags), in the form and manner we may require; (2) you must not use or modify an Online Site without our prior written approval;
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 25–36)
What This Means (2025 FDD)
According to the 2025 Engineering For Kids FDD, franchisees have advertising obligations that include both contributions to the Brand Fund and independent local marketing efforts. Engineering For Kids may designate a portion of these obligations as minimum amounts the franchisee must spend on local marketing and advertising within their territory. Franchisees must provide documentation to verify compliance with these local spending requirements, and Engineering For Kids has the right to specify what expenditures will count towards fulfilling this obligation. Franchisees are also required to advertise their business in online directories as specified in the manual.
All advertising conducted by Engineering For Kids franchisees must be dignified and conform to the standards outlined in the manual or other written materials. Any local marketing, advertising, and promotion must be in approved media, types, and formats. Engineering For Kids will provide approved advertising and promotional materials, but franchisees must submit any advertising plans or materials not prepared or approved by Engineering For Kids for approval at least 10 business days before use. Failure to receive written approval within this timeframe means the material is considered disapproved, and Engineering For Kids reserves the right to require franchisees to discontinue using any advertising or marketing materials.
Engineering For Kids may also require franchisees to participate in special promotional activities, bearing their own local costs for participation. Online advertising, including websites and social media, is subject to review and prior written approval. Franchisees cannot establish any online site relating to the Engineering For Kids business, proprietary marks, or the system without prior written approval and must adhere to specific rules and standards set by Engineering For Kids for any approved online presence. Franchisees are also required to contribute to the Brand Fund, which Engineering For Kids uses for various advertising, marketing, and promotional activities at the local, regional, or national level to benefit the Engineering For Kids brand and the system as a whole. Engineering For Kids has the right to manage these marketing programs and make final decisions on creative concepts and media used.