In the context of the Regional Advertising Cooperative Agreement, what does 'Member' refer to for Stretch Zone?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
t COOPERATIVE: DMA Stretch Zone Regional Cooperative Its: MEMBER:
EXHIBIT A
BYLAWS FOR ___________________________ DMA COOPERATIVE (an Unincorporated Association)
ARTICLE 1 Statement of Purpose
| Stretch Zone Franchising, LLC, a Florida limited liability company; and franchisor of the | |
|---|---|
| Stretch Zone Franchises creates the DMA Cooperative as an | |
| unincorporated association organized for the furtherance of each Franchised Outlet and | |
| Company-Owned Outlet located in the DMA (the "Members") | |
| for sales and promotional efforts in connection with each Member's operation of a Stretch Zone | |
| Franchise Business (collectively the "Franchises") through the joint pooling of funds for a common | |
| advertising effort. |
Source: Item 3 — Franchisee/Debtor's Warranties. (FDD pages 263–364)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, in the context of the Regional Advertising Cooperative Agreement, 'Member' refers to both Franchised Outlet Members and Company-Owned Outlet Members located in the Designated Market Area (DMA). These members are part of an unincorporated association organized to boost sales and promotional activities for each Stretch Zone Franchise Business through pooled advertising funds.
To qualify as a member, a franchisee must be in good standing with Stretch Zone, not in default under their Franchise Agreement, and must be party to a DMA Membership Agreement among the Franchisor, the DMA Cooperative, and the Member. Each member is entitled to one vote per franchise business owned on matters submitted to the members, such as the allocation of funds for advertising, the nature and type of advertising, and any changes to members' contributions.
Membership can be terminated if a member transfers or sells their franchise, if their Franchise Agreement is terminated or expires, or if the member ceases to be a Stretch Zone franchisee in good standing. This cooperative effort allows Stretch Zone franchisees to coordinate advertising and promotional campaigns within their DMA, ensuring a unified and effective marketing strategy.