What is the definition of the 'Business' in the Counselor Realty franchise agreement?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
The franchise described in this Franchise Disclosure Document is a license to operate one "Counselor" business ("Business") at a single location you choose (and to which we consent) (the "Office") within the Territory, which provides residential and commercial real estate brokerage services to customers at any location. See Item 12. The Franchise Agreement authorizes you to use certain Marks in the operation of a Business.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENT, PREDECESSORS AND AFFILIATES (FDD pages 7–8)
What This Means (2025 FDD)
According to the 2025 Counselor Realty Franchise Disclosure Document, the 'Business' refers to the franchised Counselor Realty business that the franchisee is licensed to operate. Specifically, it is a single "Counselor" business operating from a single, approved location or "Office" within a defined territory. This business provides residential and commercial real estate brokerage services to customers, regardless of where those customers are located.
This definition is important for prospective franchisees as it clarifies the scope of the franchise they are purchasing. The franchise agreement authorizes the franchisee to use Counselor Realty's trademarks and system to operate this specific type of business. The franchisee must secure Counselor Realty's consent for the office location and must maintain all necessary real estate licenses and permits required by law.
It's important to note that Counselor Realty retains the right to modify the System, Marks, and authorized services, which may require the franchisee to adapt their business operations and potentially make additional investments. The franchisee will also face competition from other real estate businesses, including potentially other Counselor Realty franchisees, and the success of the business will be influenced by economic conditions, regulatory changes, and the franchisee's own capabilities.