What costs may the Hydrodog Marketing Fund be used to pay?
Hydrodog Franchise · 2025 FDDAnswer from 2025 FDD Document
me basis as franchise owners for any the HydroDog Business we or they own and operate.
- 12.2 Use of the Funds. We or our designee will direct all programs financed by the Marketing Fund, including the creative concepts, materials and endorsements, and the geographic, market and media placement and allocation. You agree that the Marketing Fund may be used to pay the costs of, but not be limited to, developing, preparing and implementing audio or written advertising and marketing materials; developing and servicing corporate accounts; engaging in research and development; administering regional and multi-regional advertising programs; purchasing e-commerce rights, products or services, direct mail and other media advertising; maintaining or paying third parties to maintain online ordering and fulfillment systems, the Business Management System and the like; supporting public relations and market research; establishing, developing, maintaining, modifying, servicing or hosting Websites or other e-commerce programs, and other advertising, promotion and marketing activities. The Marketing Fund may periodically furnish you with samples of advertising, marketing and promotional formats and materials at no cost. Multiple copies of such materials may be furnished to you at our direct cost of producing them, plus any related shipping, handling and storage charges.
- 12.3 Accounting for the Fund.
Source: Item 23 — RECEIPTS (FDD pages 43–166)
What This Means (2025 FDD)
According to Hydrodog's 2025 Franchise Disclosure Document, the Marketing Fund may be used to cover a range of costs related to advertising, marketing, and promotion. These include the development, preparation, and implementation of audio or written advertising and marketing materials. The fund can also be used for developing and servicing corporate accounts, engaging in research and development, and administering regional and multi-regional advertising programs.
Furthermore, Hydrodog may use the Marketing Fund to purchase e-commerce rights, products, or services, and for direct mail and other media advertising. The fund can also be used to maintain or pay third parties to maintain online ordering and fulfillment systems, the Business Management System, and similar systems. Supporting public relations and market research, as well as establishing, developing, maintaining, modifying, servicing, or hosting websites or other e-commerce programs, are also listed as potential uses of the Marketing Fund.
In addition to these direct marketing and promotional activities, the Marketing Fund can also be used to cover reasonable salaries, administrative costs, travel expenses, and overhead incurred by Hydrodog in administering the fund and its programs. This includes activities such as conducting market surveys, preparing advertising materials, and collecting and accounting for contributions to the Marketing Fund. Hydrodog aims to maximize recognition of its marks and patronage through the Marketing Fund, but does not guarantee proportional benefits to all franchisees based on their contributions or geographic location.