How is the commission determined for a Belocal franchisee if they 'manage' a client who publishes a print advertisement in a publication managed by another franchisee, assuming Belocal institutes a fee for managing a client in the future?

According to Belocal's 2025 Franchise Disclosure Document, if Belocal institutes a fee for managing a client in the future, a franchisee who 'manages' a client who publishes a print advertisement in a publication managed by another franchisee will receive a commission. This commission will be equal to Belocal's then-current Managing Cross-Selling Fee, divided by the number of publications the franchisee manages.

This means that the commission a Belocal franchisee receives in this scenario is contingent on Belocal establishing a 'Managing Cross-Selling Fee' and defining what it means to 'manage' a client in their Franchise Brand Standards Manual. The commission amount is further dependent on the number of publications the franchisee manages, diluting the commission if the franchisee manages multiple publications.

Prospective Belocal franchisees should inquire about the likelihood of Belocal instituting a fee for managing a client, the potential amount of the Managing Cross-Selling Fee, and a clear definition of what responsibilities are included in 'managing' a client. Understanding these factors is crucial for assessing the potential revenue from cross-selling activities.