By what method will Moes Southwest Grill notify franchisees of an increase in the Advertising Contribution?
Moes_Southwest_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
We will allocate your Advertising Contributions to a fund for the advertising and promotion of the Restaurants, the Proprietary Marks, and the System (the "Ad Fund"). Currently, you must make a monthly Advertising Contribution to the Ad Fund in the amount of 3% of Net Sales. We may, however, increase the Advertising Contribution up to 4% of Net Sales at any time by notice to franchisees.
Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 53–68)
What This Means (2025 FDD)
According to the 2025 FDD, Moes Southwest Grill may increase the Advertising Contribution franchisees are required to make to the Ad Fund. Currently, franchisees must make a monthly Advertising Contribution of 3% of Net Sales. Moes Southwest Grill can increase this amount up to 4% of Net Sales.
Moes Southwest Grill will notify franchisees of an increase to the Advertising Contribution by providing notice to the franchisees. The FDD does not specify the format or method of this notice, only that notice will be provided.
Prospective franchisees should inquire with Moes Southwest Grill about the typical methods and lead time for such notices to better understand how changes to the advertising contribution will be communicated.