Who controls the management and disbursement of Advertising Fees for Floors To Go?
Floors_To_Go Franchise · 2025 FDDAnswer from 2025 FDD Document
For administrative convenience: (1) we will control the management and disbursement of the funds received as Advertising Fees, as defined in Section 6.4 of this Agreement; (2) we will serve as the advertising agency primarily responsible for creating and developing the advertising materials (e.g., artwork, print media presentations, direct mail flyers, promotional materials, point-of-sale formats, audio and video presentations) which we deem appropriate for the membership advertising programs; (3) we will be authorized and available to provide local or regional advertising placement services to all members upon request and be compensated for our placement services at a rate not in excess of fifteen percent (15%) of the cost of the requested advertising; and (4) we will, upon request, provide advertising consulting and media planning services to you or groups of members for a mutually agreed upon fee.
Source: Item 23 — RECEIPTS (FDD pages 47–204)
What This Means (2025 FDD)
According to the 2025 Floors To Go Franchise Disclosure Document, Floors To Go, LLC, maintains control over the management and disbursement of advertising fees. This means that the franchisor, not the franchisee, decides how the advertising funds are spent.
Floors To Go also serves as the primary advertising agency, responsible for creating and developing advertising materials. These materials include artwork, print media presentations, direct mail flyers, promotional materials, point-of-sale formats, and audio and video presentations. Floors To Go determines what it deems appropriate for the membership advertising programs.
Additionally, Floors To Go is authorized to provide local or regional advertising placement services to franchisees upon request. For these placement services, Floors To Go is compensated at a rate not exceeding 15% of the cost of the requested advertising. Floors To Go also offers advertising consulting and media planning services to individual franchisees or groups of franchisees for a mutually agreed-upon fee.