What does Note B refer to regarding the Counselor Realty Continuing Agent Fee?
Counselor_Realty Franchise · 2025 FDDAnswer from 2025 FDD Document
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- B. 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, Note B in Item 6 refers to the Continuing Agent Fee. This fee is a monthly charge based on the number of licensed agents operating through the franchisee's office, including any additional or extension offices. The fee structure is tiered: $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 Counselor Realty franchisee has 50 licensed agents, the Continuing Agent Fee would be $1,750, calculated as follows: ($53 x 10) + ($37 x 20) + ($32 x 15). The number of agents is determined by the number listed with the Minnesota Department of Commerce on the first day of the month. Franchisees must also notify Counselor Realty in writing each time a licensed agent begins operating through their office.
This fee structure incentivizes franchisees to grow their agent base, as the per-agent fee decreases at higher agent counts. However, it also means that franchisees with larger agent teams will face a substantial monthly fee. It is important for prospective franchisees to consider their growth plans and agent acquisition strategy when evaluating the financial implications of this fee. The Continuing Agent Fee is payable monthly by the 20th day of the month.