Is Jersey Mike's required to have its Affiliate-owned restaurants contribute to the Cooperative Advertising Fund, and if so, how are the contributions determined?

According to Jersey Mike's 2025 Franchise Disclosure Document, if the Cooperative Advertising Fund is reactivated, Jersey Mike's will ensure that its affiliate-owned restaurants contribute to the fund. These contributions will be equivalent to those required of franchised restaurants and will be based on the date each affiliate-owned restaurant began operations. This means that company-owned stores are held to the same advertising contribution standards as franchised locations.

This policy ensures that there is equitable participation in the Cooperative Advertising Fund between franchised and affiliate-owned Jersey Mike's restaurants. By tying the contribution amount to the restaurant's opening date, the system aims to create a fair and consistent approach to funding cooperative advertising efforts. This can be seen as a benefit to franchisees, as it prevents affiliate-owned restaurants from having an advantage in advertising contributions.

However, it's important to note that the Cooperative Advertising Fund is currently inactive, and Jersey Mike's retains the right to terminate it at any time. If the fund is reactivated, Jersey Mike's has the authority to determine the advertising coverage area and can charge a fee to the cooperative for its services. Franchisees should stay informed about the status of the Cooperative Advertising Fund and any potential changes to advertising policies.