factual

Will The Standardx provide a periodic accounting of how advertising funds are spent?

The_Standardx Franchise · 2025 FDD

Answer from 2025 FDD Document

We will not prepare any periodic accounting of how we and our affiliates spend these funds.

Source: Item 11 — Franchisor's Assistance, Advertising, Computer Systems, and Training (FDD pages 48–64)

What This Means (2025 FDD)

According to The Standardx's 2025 Franchise Disclosure Document, The Standardx will not provide a periodic accounting of how advertising funds are spent. The document specifies that The Hyatt Group prepares advertising, marketing, and promotional programs as part of System Services. These programs can utilize various media, including print, radio, television, and electronic formats, and their scope can be local, regional, national, or international. The Hyatt Group's corporate personnel and advertising agencies develop these programs.

The FDD clearly states that The Standardx will not furnish franchisees with a periodic breakdown of how advertising funds are allocated and spent. This means franchisees will not receive regular reports detailing the expenditures on advertising, marketing, and promotional activities.

While franchisees must participate in required advertising, marketing, and promotional activities, they will not have direct insight into how the funds for System Services are specifically used. However, the FDD does state that funds franchisees pay for System Services will not be used principally to solicit new franchise sales.

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.