How is the Mr. Sandless Advertising Fund contribution calculated?
Mr_Sandless Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Advertising Fund | 1% of Gross Sales | Payable at the same time and in the same manner as the Royalty Fee | You must contribute to our Advertising Fund (described in Item 11) |
| Required Minimum Expenditure for Local Marketing and Advertising | Minimum $1,500 per month. | As incurred. | Payable to third parties. All advertising must be pre-approved by us. See footnote 2. |
Source: Item 6 — OTHER FEES (FDD pages 10–13)
What This Means (2025 FDD)
According to Mr. Sandless's 2025 Franchise Disclosure Document, franchisees are required to contribute to the Advertising Fund. This contribution is calculated as 1% of the franchisee's Gross Sales. The payment is due at the same time and in the same manner as the Royalty Fee. Item 11 of the FDD provides further details about the Advertising Fund.
In addition to the Advertising Fund contribution, Mr. Sandless franchisees must spend a minimum of $1,500 per month on local marketing and advertising. These local advertising expenses are paid directly to third parties, and all advertising materials must receive pre-approval from Mr. Sandless. Franchisees must also furnish Mr. Sandless with a quarterly report and documentation of local advertising expenditures during the previous calendar quarter upon request.
It is important for prospective franchisees to understand that the Advertising Fund contribution is separate from the required minimum expenditure for local marketing and advertising. The 1% contribution goes into the Mr. Sandless Advertising Fund, while the $1,500 minimum is spent by the franchisee on local efforts. This combined advertising commitment should be carefully considered when evaluating the overall costs and financial obligations of a Mr. Sandless franchise.