Before the Counselor Realty franchise agreement becomes effective, what action must Counselor Realty take?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
You should also refrain from taking any other action or making any commitments in regard to a Counselor franchise until and unless you are notified in writing by Counselor that your application for a franchise has been approved and that an Counselor franchise has been issued in your name.
Source: Item 22 — CONTRACTS (FDD page 32)
What This Means (2025 FDD)
According to the 2025 Counselor Realty Franchise Disclosure Document, before the franchise agreement becomes effective, Counselor Realty must notify the prospective franchisee in writing that their application has been approved and that a franchise has been issued in their name. This notification serves as the official green light for the franchisee to proceed with establishing their Counselor Realty business.
This requirement ensures that both parties are aligned and that the franchisee is formally authorized to operate under the Counselor Realty brand. It protects the franchisee from prematurely investing time and resources without assurance of approval. It also protects Counselor Realty by ensuring that only approved franchisees are representing their brand.
This step is a standard practice in franchising, providing a clear point of confirmation before the franchisee incurs significant expenses or obligations. Prospective franchisees should ensure they receive this written notification before making any substantial commitments to the Counselor Realty franchise.