Is the Belocal referral fee available for transfers of existing Franchised Businesses?
Belocal Franchise · 2025 FDDAnswer from 2025 FDD Document
This referral fee is available only if the new prospect's Franchised Business manages a new publication or acquires the rights to manage a Bridge Publication; it is not available for transfers of existing Franchised Businesses.
Source: Item 1 — THE FRANCHISOR AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–12)
What This Means (2025 FDD)
According to Belocal's 2025 Franchise Disclosure Document, the referral fee program is not available for transfers of existing franchised businesses. Belocal may pay a $10,000 referral fee to a franchisee who introduces a new prospective franchisee under specific conditions.
To qualify for the $10,000 referral fee, the new prospect must not be associated with Belocal, The N2 Company, or any of their affiliated businesses. The prospective franchisee must be identified as a referral on their initial application. Belocal must approve the new prospect, and a Franchise Agreement must be signed within six months of the referral. The new franchisee must pay the full initial franchise fee, begin operations promptly, and have their publication go to print. Additionally, the new franchisee must earn at least $3,000 in qualified commissions (excluding fees for ad management services) within 12 months of starting their business and be in good standing under the franchise agreement at the time the referral fee is paid.
The referral fee is only applicable if the new prospect's franchised business manages a new publication or acquires the rights to manage a Bridge Publication. The referring franchisee must also be in full compliance with all agreements with Belocal or its affiliates to receive the referral fee. Belocal retains the right to terminate, cancel, or modify the referral program at any time and franchisees should refer to the Referral Program Policy document for additional rules and information.