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Franchise 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
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