Does Floyds 99 pass the cost of advertising and promotional materials to the franchisee, or charge the National Marketing Fund?
Floyds_99 Franchise · 2025 FDDAnswer from 2025 FDD Document
a. The Franchisor shall give the Franchisee access to advertising and promotional materials as may be developed by the Franchisor, the cost of which may be passed on to the Franchisee or charged to the National Marketing Fund (defined in Section 13.2 below), at the Franchisor's option.
Source: Item 22 — CONTRACTS (FDD pages 57–58)
What This Means (2025 FDD)
According to Floyds 99's 2025 Franchise Disclosure Document, the cost of advertising and promotional materials may either be passed on to the franchisee or charged to the National Marketing Fund, depending on Floyds 99's discretion.
Floyds 99 gives franchisees access to advertising and promotional materials that they develop. The cost of these materials can be passed on to the franchisee or charged to the National Marketing Fund, according to the document. This decision is at the discretion of Floyds 99.
Franchisees are also obligated to spend on local advertising. Franchisees must spend at least 1% of their quarterly gross sales on local advertising to promote their Floyds 99 shop. Floyds 99 can also require franchisees to spend up to 2% of their gross sales per quarter on local advertising. When combined with the National Marketing Contribution, the total advertising obligation for a franchisee will not exceed 4% of their gross sales.