What is the geographic scope of the DMA Stretch Zone Regional Advertising Cooperative?
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. The Members believe that the Franchises will be best served by a cooperative | |
| effort to coordinate the placement of advertising and promotional campaigns in the DMA in | |
| accordance with the terms of the DMA Membership Agreement that has been signed by all | |
| Members, as well as these Bylaws. |
ARTICLE 2 Offices
The DMA Cooperative may have such offices within the boundaries the DMA as may be designated for the business of the DMA Cooperative.
ARTICLE 3 Membership and Contributions
- Section 1. Qualifications. All Franchised Outlet Members must be Franchisees under a Franchise Agreement with the Franchisor and currently not in default under their respective Franchise Agreement (the "Franchise Agreement") and be a party to a DMA Membership Agreement among the Franchisor, the DMA Cooperative and the Member.
- Section 2. Voting Rights. Each Member is entitled to 1 vote per Franchise Business owned on each matter submitted to a vote of the Members.
- Section 3. Matters on Which Members Are Entitled to Vote. Each Member is entitled to vote on all matters affecting: (a) the allocation of funds for advertising in the DMA; (2) the nature and type of advertising to be placed by the DMA Cooperative; (3) all matters affecting the use of funds and the placement of advertising; (4) determination of increases in Members' contributions; (5) amendment of these Bylaws; (6) the dissolution of the DMA Cooperative; and (7) the election of the Officers.
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, the DMA Stretch Zone Regional Advertising Cooperative operates within a Designated Marketing Area (DMA). The DMA Cooperative is created to further sales and promotional efforts for franchised and company-owned Stretch Zone outlets located within that DMA. The cooperative facilitates the joint pooling of funds for advertising campaigns within the DMA, with the goal of coordinating advertising placement. The DMA Cooperative may have offices within the boundaries of the DMA as designated for the business of the DMA Cooperative.
Each Stretch Zone franchisee within the DMA is a member and has one vote per franchise business owned on matters affecting the allocation of advertising funds, the type of advertising, and any changes to member contributions. The funds collected are used for expenditures such as television and radio media placement, agency expenses, point-of-purchase materials, and administrative fees, all aimed at promoting Stretch Zone franchises within the DMA.
Prospective franchisees should note that membership in the DMA Cooperative requires adherence to the DMA Membership Agreement and compliance with Stretch Zone's standards for advertising. The franchisor retains the right to approve or disapprove all advertising and promotional plans within the DMA. This structure ensures that advertising efforts are coordinated and aligned with the overall brand strategy of Stretch Zone.