When is the initial franchise fee due for a Corcoran franchise?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be Made |
|---|---|---|---|---|
| Initial Franchise Fee [3] | $5,000 - $25,000 | Lump sum or financed | Upon signing the Franchise Agreement | To us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 34–40)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, the initial franchise fee, which ranges from $5,000 to $25,000, is due upon signing the Franchise Agreement. The method of payment can be either a lump sum or financed. However, the FDD also notes that as of the issuance date of the document, the initial franchise fee for a Main Office may be waived under the franchise sales incentive program.
This means that a prospective Corcoran franchisee should be prepared to pay the initial franchise fee when they sign the agreement, but they should also inquire about any potential waivers or reductions that may be available through the franchise sales incentive program. The actual amount of the initial franchise fee can vary, and the availability of financing provides some flexibility for franchisees.
It's important to note that all payments made to Corcoran or its related parties are non-refundable unless otherwise stated. Therefore, a franchisee should carefully consider their decision before signing the Franchise Agreement and making any payments. Understanding the terms of any financing offered is also crucial to avoid unexpected financial obligations.
While the standard initial franchise fee is due upon signing, the potential for a waiver introduces an element of negotiation and incentive. Prospective franchisees should discuss this with Corcoran to determine their eligibility and understand the specific conditions of any waiver or reduction.