factual

What matters are Stretch Zone Members entitled to vote on within the DMA Cooperative?

Stretch_Zone Franchise · 2025 FDD

Answer from 2025 FDD Document

  • 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. The Officers will decide all other matters with respect to the operation of the DMA Cooperative and the contracting for the production and placement of advertising.

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, as a member of the DMA (Designated Market Area) Cooperative, franchisees have specific voting rights on matters affecting the cooperative's operations. Each member gets one vote per franchise they own.

Specifically, Stretch Zone franchisees are entitled to vote on the following issues: how funds are allocated for advertising within the DMA, the nature and type of advertising the DMA Cooperative uses, all matters concerning the use of funds and placement of advertising, any decisions to increase member contributions, amendments to the cooperative's bylaws, the dissolution of the DMA Cooperative, and the election of officers. All other operational decisions and advertising contracts are determined by the elected officers.

This level of input allows Stretch Zone franchisees to influence the marketing strategies and financial decisions within their designated market area. However, it's important to note that the officers have control over day-to-day operations and advertising contracts, so a franchisee's influence is limited to the specific voting matters outlined in the bylaws. Franchisees should actively participate in meetings and understand the bylaws to maximize their impact on the DMA Cooperative's decisions.

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.