If an Itan advertising cooperative prepares financial statements, how can I access them?
Itan Franchise · 2025 FDDAnswer from 2025 FDD Document
Advertising cooperatives are not required to prepare annual or periodic financial statements. Any financial statements that are prepared will be made available to you upon request. We reserve the right to form, change, merge or terminate advertising cooperatives at any time. There were no advertising cooperatives in effect as of December 31, 2024.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 22–31)
What This Means (2025 FDD)
According to Itan's 2025 Franchise Disclosure Document, advertising cooperatives are not required to prepare financial statements. However, if any financial statements are prepared by the cooperative, they will be made available to Itan franchisees upon request. As of December 31, 2024, there were no advertising cooperatives in effect.
This means that while Itan franchisees may be required to participate in advertising cooperatives and pay fees, there is no guarantee that the cooperative will produce financial statements. If statements are prepared, franchisees have the right to request them.
Prospective franchisees should inquire with Itan about the likelihood of advertising cooperatives being formed in their region, the process for requesting financial statements should they exist, and the typical level of financial transparency provided by these cooperatives.