What documentation must Itan franchisees include with their advertising expenditure reports?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
- (d) Advertising Expenditure Reports.
No later than 60 days after the expiration of your grand opening period, you must prepare and send us a report detailing your expenditures on your grand opening marketing campaign in accordance with §10.3(a).
No later than the 15th day of each month, you must prepare and send us a monthly report detailing your expenditures incurred during the prior month on local advertising required by §10.3(b).
All advertising expenditure reports must include copies of receipts for the reported expenditures.
Source: Item 23 — RECEIPT (FDD pages 44–190)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, franchisees must submit advertising expenditure reports with specific documentation. Franchisees are required to send a report detailing expenditures on their grand opening marketing campaign no later than 60 days after the grand opening period expires. Additionally, a monthly report is due no later than the 15th day of each month, which details local advertising expenditures from the prior month.
Itan requires that all advertising expenditure reports include copies of receipts for the reported expenditures. This means that for every dollar spent on advertising, the franchisee must retain and submit a corresponding receipt as proof of the expenditure.
This requirement ensures transparency and accountability in how franchisees are spending their advertising dollars, particularly concerning the local marketing commitment. It allows Itan to verify that franchisees are meeting their obligations to promote their individual salons and support the overall brand. Prospective franchisees should be aware of this administrative task and ensure they have systems in place to accurately track and document all advertising expenses with proper receipts.