When acquiring an Engel & Volkers franchise, is the franchisee permitted to purchase it for resale or redistribution purposes?

Based on the 2025 Engel & Volkers Franchise Disclosure Document, the franchisee is granted a non-exclusive right to operate an Engel & Volkers residential real estate brokerage at an approved location. The agreement does not explicitly state that a franchisee can purchase the franchise for resale or redistribution purposes. Instead, the document focuses on the franchisee's right to operate the brokerage under the Engel & Volkers system and trademarks, subject to the terms and conditions outlined in the agreement. The franchisee's rights are specifically for operating the business, not for reselling or redistributing the franchise itself. Engel & Volkers retains rights not specifically granted to the franchisee. This includes the right to franchise the Engel & Volkers system and trademarks.

The Engel & Volkers agreement outlines specific obligations and restrictions on the franchisee's use of the trademarks and the Integrated Product Suite. The franchisee is only allowed to use these resources for operating their residential real estate brokerage. They cannot sublicense, assign, or transfer any rights related to the Integrated Product Suite or licensed materials. This further suggests that the franchise is intended for operation, not for resale or redistribution.

Given the absence of explicit permission for resale or redistribution and the restrictions placed on the franchisee's use of Engel & Volkers's resources, a prospective franchisee should seek clarification from Engel & Volkers regarding the possibility of reselling or transferring the franchise rights in the future. Understanding the conditions under which a transfer might be permitted, and any associated fees or requirements, is crucial for making an informed investment decision.