What is the minimum monthly commission required for Belocal franchisees?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
" For the Publication, we require you to (1) maintain a minimum, monthly Commission for the term of your Franchise Agreement, which is currently at least $3,000 per month for each of the BELOCAL ® publications you manage; (2) include a minimum of 28 pages that meet our standards in each issue of the Publication; (3) include the number of articles each month on the topics required in the Franchise Brand Standards Manual; and (4) complete a minimum number of Qualified Sales (as defined in the Franchise Brand Standards Manual) each Quarter. We may change our minimum Commission, page number, article, Qualified Sales, and Quarter requirements in our discretion during the Term of the Franchise Agreement. Although subject to change, currently the Qualified Sale requirement is that you make three Qualified New Sales (or the sale of a new advertising contract that has a term of at least 12 months and generates Cash Received of at least $150 per month) per Quarter. If you fail to satisfy any of the requirements listed in clauses (1) through (4) above, we may provide you with a business improvement plan ("Business Improvement Plan") with strategies and metrics for returning to compliance. Additionally, you will have various deadlines for the content, review, publishing, approval, etc. of the Publication and you must meet each deadline. Failure to satisfy any of these requirements is a default under the Franchise Agreement and is grounds for termination of the Franchise Agreemen
Source: Item 12 — TERRITORY (FDD pages 42–44)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, franchisees must maintain a minimum monthly commission for each Belocal publication they manage. Currently, this minimum is $3,000 per month. In addition to the commission requirement, franchisees must include a minimum of 28 pages that meet Belocal's standards in each publication issue. They also need to include a minimum number of articles on specific topics as outlined in the Franchise Brand Standards Manual and complete a minimum number of Qualified Sales each quarter.
Belocal may change the minimum commission, page number, article, Qualified Sales, and quarterly requirements at their discretion during the term of the Franchise Agreement. The current Qualified Sale requirement is three Qualified New Sales per quarter, where a Qualified New Sale is defined as a new advertising contract with a term of at least 12 months that generates Cash Received of at least $150 per month.
Failure to meet any of these requirements, including the minimum monthly commission, can lead to Belocal providing a business improvement plan with strategies and metrics for returning to compliance. Continued failure to comply with these requirements constitutes a default under the Franchise Agreement and can result in termination of the agreement. This highlights the importance of consistent sales performance and adherence to Belocal's standards for franchisees.
Prospective franchisees should be aware that while the minimum monthly commission is currently set at $3,000, Belocal retains the right to modify this requirement. Therefore, it is crucial to understand the potential for changes and to factor this into their financial projections and business planning.