factual

Is there an exception to the Brand Development Fund contribution for any existing affiliate-owned Kidokinetics business?

Kidokinetics Franchise · 2024 FDD

Answer from 2024 FDD Document

Kidokinetics Businesses owned by us will contribute to the Brand Development Fund on the same basis as franchisees, except for one existing affiliate owned Kidokinetics Business.

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 26–34)

What This Means (2024 FDD)

According to Kidokinetics' 2024 Franchise Disclosure Document, Kidokinetics businesses owned by the company will generally contribute to the Brand Development Fund on the same basis as franchisees. However, there is an exception for one existing affiliate-owned Kidokinetics business.

The Brand Development Fund is used for marketing, developing, and promoting the Kidokinetics system, marks, and franchises. Franchisees are typically required to pay 2% of their weekly Gross Sales to the Brand Development Fund.

This exception could be significant for prospective franchisees to understand, as it may indicate differing financial obligations or arrangements for certain company-owned locations compared to franchised locations. It would be prudent for potential franchisees to inquire about the specifics of this exception and its potential impact on the overall financial performance and marketing strategies of the Kidokinetics system.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.