When is the Local Advertising Requirement fee due for a Spray Net franchise?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
You must spend a minimum annual amount on local advertising for your Franchised Business ("Local Advertising Requirement"). You are required to spend 75% of your Local Advertising Requirement on digital marketing ("Digital Marketing Spend" or "DMS") on a monthly basis. We are currently the only Approved Supplier for digital marketing, and we may either perform the digital marketing services or contract with another supplier to provide them. Whether we provide the digital marketing services or engage another supplier to provide them, you are required to pay us our then-current fee for managing such digital marketing services (the
Source: Item 6 — > **ITEM 6 OTHER FEES (FDD pages 15–29)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, the Local Advertising Requirement fee is part of the broader marketing expenses that also include the Digital Marketing Spend, Production Fee, and Brand Fund Contribution. The Digital Marketing Spend, Production Fee, and Brand Fund Contribution are collected on a monthly basis.
Specifically, franchisees are required to spend a minimum annual amount on local advertising, and 75% of this amount must be spent on digital marketing monthly. Spray Net is currently the only approved supplier for digital marketing services, and franchisees are required to pay Spray Net's fee for managing these services, referred to as the Production Fee, which covers the administrative cost of placing the digital advertising. This fee is subject to a cap or maximum amount.
While the FDD specifies that the Digital Marketing Spend, Production Fee, and Brand Fund Contribution are collected monthly, it does not explicitly state the payment schedule for the remaining 25% of the Local Advertising Requirement that is not allocated to digital marketing. A prospective franchisee should clarify with Spray Net the specific due dates and payment terms for the portion of the Local Advertising Requirement not covered by the monthly Digital Marketing Spend.