About Franchise Advertising - This section has information on advertising costs. Franchisees often are required to contribute a percentage of their income to an advertising fund.

  • what part of the advertising fund is devoted to administrative costs
  • what other expenses are paid from the advertising fund
  • whether franchisees have any control over how the advertising dollars are spent
  • what advertising promotions the company has already engaged in and what’s on the drawing board
  • what percentage of the fund is spent on national advertising
  • what percentage of the fund is spent on advertising in your area
  • what percentage is devoted to selling more franchises
  • whether all franchisees contribute equally to the advertising fund
  • whether you need the franchisor’s consent to develop and buy your own advertising
  • whether there are rebates or advertising contribution discounts if you do your own advertising
  • whether the franchisor gets any commissions or rebates when it places advertisements, and who benefits from those you or the franchisor