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How is the minimum amount for the Spray Net Contribution to Brand Development Fund determined?

Spray_Net Franchise · 2025 FDD

Answer from 2025 FDD Document

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Name of Fee Amount1 Due Date Remarks
Initial Marketing Investment $15,000 to $40,000, depending on the number of Designated Territories you purchase.5 Upon execution of the Franchise Agreement and according to a specific timeline depending upon the number of Designated Territories you purchase. If paid to us, currently collected via GoCardless. While the Initial Marketing Investment will be paid out to our approved or designated third party suppliers for these kinds of services, we expect and intend to collect this amount directly from you and may keep a portion of the Initial Marketing Investment as consideration for managing the placement and suppliers associated with this initial marketing and related activities designed to (a) increase visibility of the Franchised Business within your Designated Territory, and/or (b) generate prospective client interest and sales appointments prior to and up through the opening and initial operations of your Franchised Business.
Contribution to Brand Development Fund (the "Fund") 2% of Gross Sales; subject to a minimum amount. The minimum amount is based on the number of Designated Territories you have purchased and the length of time your Franchised Business has been in operation Payable as we on the 1st of determine each month. Currently collected via GoCardless. We have established a brand development fund (the "Fund") for purposes of promoting, marketing, advertising and otherwise developing the System, Proprietary Marks, Approved Services and our brand generally, as we determine appropriate. We will administer the Fund and will provide you with prior written notice of any change to your Fund Contribution.
Spray-Pal Then-current fee charged by the provider of this software. Currently, $40 per month. Monthly after opening for business. Currently collected via GoCardless. This software uses an AI-powered chatbot to instantly answer common franchisee or franchisee employee questions, acting like a virtual assistant that helps automate support and improve response times—no human

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 Contribution to Brand Development Fund is calculated as 2% of Gross Sales, but it is subject to a minimum amount. The minimum amount depends on two factors: the number of Designated Territories the franchisee purchases and the length of time the Franchised Business has been in operation.

Spray Net uses the Brand Development Fund for purposes of promoting, marketing, advertising and otherwise developing the System, Proprietary Marks, Approved Services and our brand generally. Spray Net determines what is appropriate to spend the money on.

Spray Net retains the right to change the Fund Contribution amount, but will provide prior written notice of any changes to the franchisee.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.