Are the fees paid to Christies International Real Estate as part of the initial investment refundable?
Christies_International_Real_Estate Franchise · 2025 FDDAnswer from 2025 FDD Document
None of the fees paid to us in this chart are refundable.
Whether such fees paid to third parties are refundable would depend upon their policies.
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 17–20)
What This Means (2025 FDD)
According to Christies International Real Estate's 2025 Franchise Disclosure Document, the fees paid directly to them as part of the initial investment are not refundable. Specifically, this applies to the initial fee, which is $35,000, and any MLS fees paid to Christies International Real Estate, which can range from $0 to $10,000. However, fees paid to third-party vendors may or may not be refundable, depending on the policies of those specific vendors.
This means that a prospective Christies International Real Estate franchisee should consider the non-refundable nature of the initial fee and MLS fee when making their investment decision. It is crucial to have a clear understanding of the services and support provided by Christies International Real Estate in return for these fees. Additionally, franchisees should inquire about the refund policies of third-party vendors before making any payments to them for items such as initial training expenses (estimated between $1,000 and $10,000), leasehold improvements (estimated between $0 and $150,000), and other services.
Understanding the refund policies of both Christies International Real Estate and its vendors is an important aspect of due diligence. Franchisees should carefully review the franchise agreement and any vendor contracts to fully understand their rights and obligations. This will help avoid potential financial losses in the event that the franchisee decides not to proceed with the franchise or if certain services are not provided as expected.
In the franchise industry, it is common for initial franchise fees to be non-refundable, as these fees are typically used to cover the franchisor's costs associated with granting the franchise and providing initial training and support. However, refund policies can vary, so it is essential for prospective franchisees to carefully review the FDD and franchise agreement to understand the specific terms and conditions.