Who will administer and manage the Fund for Spray Net, if and when it is created?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
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- We, an affiliate or a third party we select will administer and manage the Fund as we determine appropriate, if and when created. (Section 4(A)(5), Franchise Agreement).
We will administer and use the Fund to meet certain costs related to maintaining, administering, directing, conducting and preparing advertising, marketing, public relations, and/or promotional programs and materials, and any other activities which we believe will enhance the image of the System. We will designate all programs that the Fund finances, with sole control over the creative concepts, materials, and endorsements used and their geographic, market, and media placement and allocation. The Fund may also be used to cover the costs and fees associated with: preparing and producing video, audio, and written materials and electronic media; website maintenance and development, internet advertising, administering regional and multi-regional marketing and advertising programs, including purchasing trade journal, direct mail, website, radio and other media advertising and using advertising, promotion, and marketing agencies and other advisors to provide assistance; and supporting public relations, market research, and other
We may establish an advertising council (the "Franchise Advertising Council") in the United States. The Franchise Advertising Council would serve, once established, in an advisory capacity to us with respect to certain advertising expenditures, including providing advice/guidance on how to administer the Fund. At our discretion, the Franchise Advertising Council may be comprised of our management representatives, employees, you and/or other franchisees in the System. All members of the Franchise Advertising Council shall be volunteers approved by us. We will have the right to modify or dissolve a Franchise Advertising Council at any time. (Franchise Agreement, Section 9(F)).
During our fiscal year ending December 31, 2024, we spent $594,022 of Fund Contributions. During that time, we expended this amount approximately as follows: (i) media production – 25% and (ii) media placement – 75%.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 38–49)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, if and when a fund is created, Spray Net, an affiliate, or a third party selected by Spray Net will administer and manage the fund as they determine appropriate.
Spray Net will use the fund to cover costs related to advertising, marketing, public relations, and promotional programs. Spray Net has sole control over the creative concepts, materials, endorsements, and their placement. The fund can be used for video, audio, and written materials, website maintenance, internet advertising, and agencies for assistance. These advertising materials can be printed, broadcast on radio or television, or placed on the internet at the local, regional, or national level.
Spray Net may establish a Franchise Advertising Council to advise on advertising expenditures. This council may include Spray Net's management, employees, franchisees, and other volunteers approved by Spray Net. Spray Net retains the right to modify or dissolve the Franchise Advertising Council at any time. During the fiscal year ending December 31, 2024, Spray Net spent $594,022 of Fund Contributions, allocating approximately 25% to media production and 75% to media placement.