factual

When does a Learningrx franchisee begin participating in the national marketing development program?

Learningrx Franchise · 2025 FDD

Answer from 2025 FDD Document

ed forward. We reserve the right to form, change, dissolve, or merge advertising cooperatives in our discretion.

Marketing Development Fund (MDF): You will also be required to participate in the national marketing development program. Beginning in the first full month of operation, you must pay to us a contribution to the national Marketing Development Fund ("Marketing Development Fund" or "MDF") the greater of either (i) an amount of 3% of your Gross Revenues per month, or (

Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEM, AND TRAINING (FDD pages 26–33)

What This Means (2025 FDD)

According to Learningrx's 2025 Franchise Disclosure Document, franchisees are required to participate in the national marketing development program starting in the first full month of operation. The contribution to the Marketing Development Fund (MDF) is the greater of either 3% of gross revenues per month, or a minimum payment of $200 for Micro Franchises and $300 for Standard Franchises.

The document also specifies a maximum contribution amount, though the exact figure is obscured in the provided excerpt. This MDF is used for various marketing and sales tools, website development, internet marketing, digital campaigns, social media, public relations, research studies, and agency costs.

In addition to the national marketing development program, Learningrx franchisees are also required to engage in local advertising. Franchisees must spend the greater of $2,000 for Micro Franchises and $3,000 for Standard Franchises, or 5% of gross revenues per month, on local advertising and promotion within their territory. This local advertising spend must be paid to independent third parties. Furthermore, franchisees are required to spend up to $3,000 per year on Boost marketing activities, which include web directories and reputation management, paid directly to Learningrx. New and transferred centers must also pay for an Initial Marketing Campaign costing between $15,000 and $30,000.

Disclaimer: This information is extracted from the 2025 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.