Are there any Local Advertising Cooperatives established for Southern Steer as of the date of the Disclosure Document?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
Businesses required to be members of the Local Advertising Cooperative (including locations owned by Us or Our Affiliates that participate) will contribute on the same basis and have the same voting power. In the event of a tie vote, We will cast the deciding vote. There are currently no Local Advertising Cooperatives established as of the date of this Disclosure Document.
- (5) Supplies and Inventory. You must reimburse Us for all fees, costs, expenses, taxes and charges that We pay on Your behalf for products, services, supplies, equipment, goods, materials or inventory furnished to You by Us, Our affiliate or any third party, including taxing authorities, governmental agencies, vendors, contractors and insurance carriers.
- (6) Additional Training Fee. The Initial Franchise Fee includes the initial training for up to two people.
Source: Item 6 — ITEM. 6 OTHER FEES (FDD pages 11–16)
What This Means (2025 FDD)
According to Southern Steer's 2025 Franchise Disclosure Document, there are currently no Local Advertising Cooperatives established. However, Southern Steer retains the right to establish these cooperatives in designated areas in the future, composed of all franchised Southern Steer businesses.
If Local Advertising Cooperatives are established, franchisees may be required to contribute up to 1% of monthly Gross Revenues. This contribution would be in addition to the Brand Fund Contribution. While Southern Steer may exclude company-owned locations from participating in a Local Advertising Cooperative, all participating Southern Steer businesses, including those owned by Southern Steer or its affiliates, will contribute on the same basis and have the same voting power. In the event of a tie vote, Southern Steer will cast the deciding vote.
This means that as a Southern Steer franchisee, you may be required to participate in a Local Advertising Cooperative in the future and contribute up to 1% of your monthly gross revenues. It is important to note that while Southern Steer retains the right to establish these cooperatives, they do not currently exist. Prospective franchisees should inquire about the likelihood of Local Advertising Cooperatives being established in their area and how these cooperatives will be managed.