How is voting power distributed within a Southern Steer Local Advertising Cooperative?
Southern_Steer Franchise · 2025 FDDAnswer from 2025 FDD Document
However, all Southern Steer 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.
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, all Southern Steer businesses that are required to be members of a Local Advertising Cooperative, including those owned by Southern Steer or its affiliates if they participate, contribute on the same basis and have the same voting power. This means that each participating Southern Steer location has an equal say in the cooperative's decisions, regardless of ownership.
However, Southern Steer retains ultimate control in the event of a tie. If the voting among the cooperative members results in a tie, Southern Steer will cast the deciding vote. This ensures that Southern Steer can ultimately direct the cooperative's activities if the franchisees are deadlocked.
It is important to note that as of the date of the 2025 Disclosure Document, no Local Advertising Cooperatives have been established. This means that while the FDD outlines the voting structure, it is not yet in practice. Prospective franchisees should inquire about the likelihood of these cooperatives being formed in their area and how Southern Steer anticipates their role in these cooperatives evolving over time.