Does Christies International Real Estate currently have an Advertising Fund Fee?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
- 7.1. Advertising Fund. We reserve the right to require that you to pay a monthly advertising fee ("Advertising Fund Fee") for deposit into a system marketing fund (the "Advertising Fund").
As of the Effective Date, we have not established an Advertising Fund, and we do not collect the Advertising Fund Fee.
We may implement, begin collecting, and increase the Advertising Fund Fee at any time upon written notice to you; however, the Advertising Fund Fee will not exceed three percent (3%) of Gross Revenue.
If we begin collecting the Advertising Fund Fee, you will pay the Advertising Fund Fee in the same manner and at the same time as the Royalty Fee.
If we begin collecting the Advertising Fund Fee, we will place all Advertising Fund Fees we receive in the Advertising Fund and we will manage such Advertising Fund.
Any CHRISTIE'S INTERNATIONAL REAL ESTATE businesses operated by us or our affiliates will not be required to contribute to the Advertising Fund.
Source: Item 23 — RECEIPT (FDD pages 54–177)
What This Means (2025 FDD)
According to the 2025 Christies International Real Estate Franchise Disclosure Document, Christies International Real Estate does not currently have an Advertising Fund Fee. However, Christies International Real Estate retains the right to implement, begin collecting, and increase this fee at any time, provided they give written notice to the franchisee.
If Christies International Real Estate decides to implement the Advertising Fund Fee, it will not exceed three percent (3%) of Gross Revenue. The fee would be paid in the same manner and at the same time as the Royalty Fee. All Advertising Fund Fees collected will be placed in the Advertising Fund, which Christies International Real Estate will manage. Notably, any Christies International Real Estate businesses operated directly by Christies International Real Estate or its affiliates will not be required to contribute to this fund.
The Advertising Fund will cover expenses related to promoting the Christies International Real Estate brand and system, including call center operations, market research, customer retention, advertising materials, public relations, technology investments, and digital marketing. Up to ten percent (10%) of the Advertising Fund may be used to solicit new franchisees. Franchisees should note that the Advertising Fund is not a trust or escrow account, and Christies International Real Estate has no fiduciary obligations regarding the fund. There is no guarantee that individual franchisees will directly benefit from advertising in their local market.
Christies International Real Estate will determine the advertising methods, media channels, and the scope of marketing campaigns. Upon written request, franchisees will receive an annual unaudited statement of the Advertising Fund's receipts and disbursements for the most recent calendar year. Any surpluses or shortages in the Advertising Fund at the end of the year will be carried over to the next year.