Who has the right to terminate any Fly To Fit Market Cooperative?

According to Fly To Fit's 2024 Franchise Disclosure Document, Fly To Fit Franchise has the authority to terminate any Market Cooperative. Upon termination of a Market Cooperative, any remaining funds will be transferred to the Marketing Fund.

Market Cooperatives, if established by Fly To Fit, are designed to administer regional advertising and marketing programs and develop standardized promotional materials for members' local advertising and promotion, subject to Fly To Fit Franchise's approval. Franchisees are required to join a Market Cooperative if one exists for their geographic area, and Fly To Fit determines the governance, form, manner, and start date of these cooperatives.

Fly To Fit also has the right to enforce the obligations of franchisees to contribute to the Market Cooperative. The majority vote of the Market Cooperative determines the dues to be paid by members, set between 1% and 5% of gross sales. Fly To Fit's ability to terminate a Market Cooperative gives it significant control over regional marketing efforts and the funds allocated for those efforts, ensuring alignment with the overall brand strategy.