n consent, which we can withhold for any or no reason. (Sections 10.04 and 10.05 of the Franchise Agreement)

We do not have a local or regional advertising cooperative franchisees must participate in or an advertising council comprised of franchisees. Other than the Fund, you do not have to participate in any other marketing fund. You must participate in all gift certificate, gift card, loyalty, and rewards programs sponsored at any time by us. Your costs associated with the gift card program include your responsibility to pay swipe fees on any gift cards purchased with credit cards, costs of the gift cards, periodic promotions to encourage gift card sales (which may include providing vouchers for free products and services in exchange for gift card sales meeting designated thresholds), and your obligation to give away product and services based on rewards your customers acquire and redeem. In addition, you are required to participate at your expense in all programs sponsored at any time by us to promote and reward the frequent and regular customers of Face Foundrié Facial Bars.

Grand Opening Promotion

Before you open your Facial Bar, you will be expected to advertise its opening and create a Grand Opening Promotion plan that we approve. You must provide us with a Grand Opening Promotion plan at least 60 days prior to the opening of your Facial Bar. During the period of time beginning 30 days before until 60 days following the opening of the Facial Bar, you must spend a minimum of $25,000 to implement a grand opening advertising and promotional campaign, of which at least $3,000 must be spent on digital marketing. Although $25,000 is the minimum, we recommend you spend up to $60,000 or more. We may require you to provide proof that these funds were spent. If you fail to spend the minimum required amount on the Grand Opening Promotion plan, we have the right to collect from you the difference between what you should have spent and what you actually spent. The Grand Opening Promotion plan is in addition to any Marketing Contributions that you must pay to us. We may require you to work with one or more vendors that we designate to execute the Grand Opening Promotion plan, and we may require you to purchase certain digital media, print media, branded promotional products, printed materials, signage, and similar items, from us or other vendors that we designate. (Section 10.01 of the Franchise Agreement). You may not open the Facial Bar until all signage is installed.

In addition to the required expenditures on a grand opening advertising and promotional campaign described above, during your first 12 months of operation, you must also spend at least (a) $3,000 per month on digital marketing, and (b) $2,000 per month on other paid marketing tactics we have approved; these expenditures will count toward your local marketing requirements.

Advisory Councils

We have formed an advisory council made up of franchisees and Franchisor representatives. The initial slate of franchisee members of the council were selected by the Franchisor; following these initial terms franchisee members will be elected by franchisees. The advisory council acts in an advisory capacity only and does not have decision making authority. We reserve the right to change or dissolve it at any time.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 33–43)