factual

How does Counselor Realty define 'operating through' an office for the purpose of calculating agent fees?

Counselor_Realty Franchise · 2025 FDD

Answer from 2025 FDD Document

. You must pay a monthly Continuing Agent Fee to Counselor based upon the number of licensed agents operating through your Office (including any Additional Offices and Extension Offices) at any time during the month as follows: $53 per licensed agent for the sixth through 15th licensed agent operating through your Office(s); $37 per licensed agent for the 16th through 35th licensed agent operating through your Office(s); and $32 per licensed agent for the 36th and each additional licensed agent operating through your Office(s). For purposes of clarity, if you have 50 licensed agents operating through your Office(s) for a certain month, your Continuing Agent Fee for that month would be $1,750 ($53 multiplied by 10, plus $37 multiplied by 20, plus $32 multiplied by 15). For purposes of calculating the Continuing Agent Fee, the number of agents operating through your Office(s) for any given month shall be the number of licensed agents listed as operating through your Office(s) with the Minnesota Department of Commerce on the first day of the applicable month. If Counselor has consented to any Additional Office locations or Extension Office locations, any licensed agents operating from any such Additional Office locations or Extension Office locations will be counted in the number of agents operating through your Office for purposes of the Continuing Agent Fee. You must notify Counselor immediately in writing each time a licensed agent begins operating through your Office(s) (including any Additional Offices or Extension Offices

Source: Item 6 — OTHER FEES (FDD pages 9–13)

What This Means (2025 FDD)

According to Counselor Realty's 2025 Franchise Disclosure Document, the number of agents operating through an office for the purpose of calculating the Continuing Agent Fee is determined by the number of licensed agents listed as operating through the franchisee's office with the Minnesota Department of Commerce on the first day of the applicable month. This definition is important because it directly impacts the monthly fees a franchisee will owe to Counselor Realty.

Specifically, Counselor Realty franchisees pay a Continuing Agent Fee based on a tiered structure. The fee is $53 per licensed agent for the 6th through 15th agent, $37 per licensed agent for the 16th through 35th agent, and $32 per licensed agent for the 36th and each additional agent. For example, if a franchisee has 50 licensed agents operating through their office, the Continuing Agent Fee would be $1,750, calculated as ($53 * 10) + ($37 * 20) + ($32 * 15).

Furthermore, if Counselor Realty has approved any Additional Office or Extension Office locations, any licensed agents operating from these locations are included in the total number of agents operating through the franchisee's office for the purpose of calculating the Continuing Agent Fee. Franchisees are required to notify Counselor Realty immediately in writing each time a licensed agent begins operating through their office, including any Additional Offices or Extension Offices, ensuring accurate fee calculation and compliance with the franchise agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.