Which item in the Gold Star Disclosure Document refers to advertising obligations?
Gold_Star Franchise · 2025 FDDAnswer from 2025 FDD Document
| Obligation | Section in Agreement | Disclosure Document Item |
|---|---|---|
| m. Maintenance, appearance and | Section 5 of Franchise Agreement | Item 8 |
| remodeling requirements | ||
| n. Insurance | Section 18 of Franchise Agreement | Item 8 |
| o. Advertising | Section 6 and 9 of Franchise Agreement; Supplier Payment Assignments | Items 6 and 11 |
| p. Indemnification | Section 19 of Franchise Agreement | Item 6 |
| q. Owner's | Section 5 of Franchise Agreement; | Items 11 and 15 |
| participation/management/ | ||
| staffing | ||
| r. Records/reports | Section 10 of Franchise Agreement | Item 6 |
| s. Inspections/audits | Sections 5, 8 and 10 of Franchise Agreement | Item 6 and 11 |
| t. Transfer | Section 13 of Franchise Agreement | Item 17 |
| u. Renewal | Section 16 of Franchise Agreement | Item 17 |
| v. Post-termination obligations | Sections 11, 12 and 15 of Franchise Agreement | Item 17 |
| w. Non-competition covenants | Section 11 of Franchise Agreement | Item 17 |
| x. Dispute resolution | Section 22 of Franchise Agreement | Item 17 |
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 26–36)
What This Means (2025 FDD)
According to Gold Star's 2025 Franchise Disclosure Document, Item 11 and Items 6 relate to advertising obligations. Specifically, Item 11 is titled "Franchisor's Assistance, Advertising, Computer Systems, and Training" and contains details about the Brand Building Fund, advertising policies, and the franchisee's responsibilities for local advertising. Item 6, as referenced in the table, also contains information relevant to advertising, particularly concerning fees and supplier payment assignments related to advertising.
The table provided in Item 11 of the Gold Star FDD clearly indicates that advertising obligations are addressed in Section 6 and 9 of the Franchise Agreement, as well as Items 6 and 11 of the disclosure document. This directs prospective franchisees to specific areas within both the franchise agreement and the disclosure document where advertising requirements, fees, and the administration of the Brand Building Fund are detailed.
For a prospective Gold Star franchisee, this means that understanding their advertising obligations requires careful review of both Item 11 and Item 6 of the FDD, as well as Sections 6 and 9 of the Franchise Agreement. These sections will outline the mandatory contributions to the Brand Building Fund, any requirements for local advertising spend, and the extent to which Gold Star controls advertising content and placement. It is crucial to understand these obligations to budget accordingly and to ensure compliance with Gold Star's advertising standards.