What is the timeframe for fulfilling the Grand Opening Obligation for a new Moes Southwest Grill franchise?
Moes_Southwest_Grill Franchise · 2025 FDDAnswer from 2025 FDD Document
You must spend at least the amount specified in Schedule A on grand opening advertising promoting the opening of your Franchised Business within the period beginning 90 days before the Opening Date and ending 90 days after the Opening Date (the "Grand Opening Obligation").
Alternatively, we may, in our sole discretion, require you to pay the Grand Opening Obligation to us or the Ad Fund for us to spend in accordance with a grand opening advertising plan that we designate or approve.
The Grand Opening Obligation is in addition to your Advertising Contribution and any local advertising obligations you may have.
If you relocate the Franchised Business pursuant to Section 5.5 (Relocation of the Franchised Business), we may require you to comply with the Grand Opening Obligation again.
Source: Item 22 — Contracts (FDD page 92)
What This Means (2025 FDD)
According to the 2025 Moe's Southwest Grill Franchise Disclosure Document, franchisees are required to conduct grand opening advertising for their new location within a specific timeframe. This period begins 90 days before the restaurant's opening date and extends until 90 days after the opening date. This entire 180-day window is referred to as the "Grand Opening Obligation."
During this period, the franchisee must spend a minimum amount on advertising to promote the new Moe's Southwest Grill. The specific amount that must be spent is listed in Schedule A of the Franchise Agreement. Alternatively, Moe's Southwest Grill may require the franchisee to pay the Grand Opening Obligation to them or the Ad Fund, allowing Moe's Southwest Grill to manage the advertising plan.
It's important to note that the Grand Opening Obligation is separate from the franchisee's ongoing Advertising Contribution and any local advertising requirements. Furthermore, if the franchisee relocates their Moe's Southwest Grill restaurant in the future, Moe's Southwest Grill may require them to repeat the Grand Opening Obligation for the new location. Franchisees must also obtain written approval for their grand opening advertising plan at least 30 days before the start of the campaign and use only approved advertising content.