Is Flowerama required to place advertising for each individual Standard Flowerama Center?

According to Flowerama's 2024 Franchise Disclosure Document, Flowerama is not required to place advertising for individual Standard Flowerama Centers or in a franchisee's specific area. The document states that Flowerama does not have to ensure that individual centers benefit from advertising in proportion to their contributions to the Flowerama Marketing Fund. This means that while franchisees may contribute to a marketing fund, there's no guarantee that advertising efforts will directly benefit their specific location.

Flowerama has the right to direct all advertising activities with sole discretion over creative concepts, materials, and media used, as well as their placement and allocation. They also determine the composition of all geographic and market areas for the implementation of these advertising and promotional activities. This gives Flowerama significant control over how the marketing fund is spent and where advertising is placed.

Flowerama may establish a "Marketing Fund" for Flowerama Centers. If a Flowerama Marketing Fund is established, all franchisees will be uniformly required to pay to Flowerama on or before the 10th day of each calendar month an amount equal to 2% of their Gross Sales for the preceding calendar month. However, franchisees are required to spend a minimum of 1% of gross sales for local advertising and promotion of their Flowerama Center. Franchisees may use their own advertising material, but the media and content of their advertising is subject to Flowerama's approval.