Who has the sole authority to determine the selection of advertising materials and programs for Mr. Sandless?

According to the 2025 Mr. Sandless Franchise Disclosure Document, Mr. Sandless retains sole authority in determining the selection of advertising materials and programs. This means that Mr. Sandless has the exclusive right to decide which advertising materials and programs will be used to promote the Mr. Sandless brand. However, Mr. Sandless will make a good faith effort to expend Advertising Fund contributions in the general best interests of the System on a national or regional basis.

Mr. Sandless also has the sole right to determine contributions and expenditures from the Advertising Fund or any other advertising program. The company may use the Advertising Fund to cover various advertising costs, including television, radio, magazine, social media, newspaper, and electronic advertising campaigns, direct mail, outdoor billboard advertising, public relations activities, marketing research, website development, and personnel costs for advertising.

While franchisees contribute to the Advertising Fund, they may not directly or proportionally benefit from its expenditures. Mr. Sandless also reserves the right to use the Advertising Fund for public relations, brand recognition, website maintenance, and to solicit potential franchisees, even though the primary purpose isn't franchisee solicitation. This structure centralizes control over advertising with Mr. Sandless, ensuring brand consistency but limiting individual franchisee input on marketing strategies.

Mr. Sandless may fine a franchisee $500 per occurrence if the franchisee fails to get approval prior to using any piece of marketing in their Business, or uses generally any unapproved marketing efforts including online. Franchisees are also not permitted to solicit customers and/or advertise outside the Designated Territory, except to the extent that they have received Mr. Sandless's prior written approval to do so. Such approval to be granted or denied is at Mr. Sandless's sole discretion.