When is the Spray Net Brand Development Fund contribution due each month?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
The Fund Contribution is on the first day of each month. The Fund Contribution is deemed fully earned and nonrefundable upon payment.
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
advertising, promotion, and marketing activities. The Fund may be used for advertising materials/campaigns in printed materials or on radio or television for local, regional or national circulation, internet regional or national advertising, as we deem appropriate in our discretion. We and/or a regional or national advertising agency may be used to produce all advertising and marketing. (Franchise Agreement, Section 9(E)).
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, the Brand Development Fund contribution is due on the first day of each month. This contribution is considered fully earned and nonrefundable upon payment.
Spray Net uses these fund contributions to cover costs related to advertising, marketing, public relations, and promotional programs. These activities are intended to enhance the overall image of the Spray Net system. The franchisor has sole control over the creative aspects, materials, and placement of these advertising efforts.
The fund may also cover expenses related to producing video, audio, and written materials, maintaining the website, internet advertising, and administering marketing programs. Additionally, it can be used for public relations, market research, and other marketing activities. The advertising materials can be used in various formats, including print, radio, television, and the internet, at the franchisor's discretion.
Spray Net accounts for the Brand Development Fund separately from its other funds and will not use it for general operating expenses, except for reasonable salaries and administrative costs associated with managing the fund. The fund is not considered an asset or trust, and Spray Net does not have fiduciary obligations related to it. The franchisor may spend more or less than the total contributions in a given year, borrow funds to cover deficits, or invest any surplus for future use. Franchisees should note that contributions to the fund are not necessarily spent within their specific territory.