Is the Development Services Designation program mandatory for Engel & Volkers franchisees?

Question

Accepted Answer

ard and cannot be specified at this moment.

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#### **Item 6 OTHER FEES**

| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Additional Technology Services Fees | According to then current Technology Price List. | Upon receipt of an invoice. | Payable to us or our agent. (See Note 12) |
| Development Services Designation Annual Fee | $2,500 - $6,000 depending on number of participating designees. | Upon receipt of an invoice. | Development services designation is an optional program for qualified franchisees. (See Note 13) |
| Development Services Consulting Fee | Varies. | Upon receipt of an invoice. | (See Note 13) |
| Commerical Designation Annual Fee | $5,000 - $6,000 per year (depending on obtaining a Commercial Designation) | Upon receipt of invoice | The Commercial Designation is an optional program for qualified franchisees. (See Note 13) |
| Limited Purpose Location Fee | $2,500 per location | Upon receipt of an invoice. | Payable if we permit you to open an additional physical location as a limited purpose location for sales or administrative purposes. |
| Transfer Fee (See Note 1) | $2,500 administrative fee. $10,000 or such higher amount as is necessary to reimburse our reasonable costs, in the case of a securities offering. | Before or at transfer.

Source: Item 6 — OTHER FEES (FDD pages 22–30)

Is the Development Services Designation program mandatory for Engel & Volkers franchisees?

Answer from 2025 FDD Document

Item 6 OTHER FEES

What This Means (2025 FDD)

Type of Fee	Amount	Due Date	Remarks
Additional Technology Services Fees	According to then current Technology Price List.	Upon receipt of an invoice.	Payable to us or our agent. (See Note 12)
Development Services Designation Annual Fee	$2,500 - $6,000 depending on number of participating designees.	Upon receipt of an invoice.	Development services designation is an optional program for qualified franchisees. (See Note 13)
Development Services Consulting Fee	Varies.	Upon receipt of an invoice.	(See Note 13)
Commerical Designation Annual Fee	$5,000 - $6,000 per year (depending on obtaining a Commercial Designation)	Upon receipt of invoice	The Commercial Designation is an optional program for qualified franchisees. (See Note 13)
Limited Purpose Location Fee	$2,500 per location	Upon receipt of an invoice.	Payable if we permit you to open an additional physical location as a limited purpose location for sales or administrative purposes.
Transfer Fee (See Note 1)	$2,500 administrative fee. $10,000 or such higher amount as is necessary to reimburse our reasonable costs, in the case of a securities offering.	Before or at transfer.