What is the dependency for deferring initial fees and payments for Christies International Real Estate franchisees?

According to the 2025 Christies International Real Estate FDD, the payment of the initial franchise fee is deferred until Christies International Real Estate completes its initial obligations and the affiliate office is open for business. This means a new franchisee does not have to pay the initial fee upfront. Instead, the payment is contingent upon Christies International Real Estate fulfilling their initial responsibilities in setting up the franchise and the franchisee commencing operations.

This arrangement benefits the franchisee by reducing the initial financial burden and aligning the payment of the fee with the start of business operations. It also provides some assurance that the franchisee will only pay the fee once the franchisor has provided the necessary support to get the business up and running.

However, the FDD does not specify what constitutes Christies International Real Estate's "initial obligations." A prospective franchisee should seek clarification from Christies International Real Estate regarding what these obligations are, how they are defined, and what recourse the franchisee has if these obligations are not met in a timely manner. Understanding these details is crucial for assessing the risk and planning the financial aspects of the franchise investment.