What must an Engel & Volkers franchisee do with experience gained during use of the Engel & Volkers System?

According to Engel & Volkers's 2025 Franchise Disclosure Document, franchisees are required to inform Engel & Volkers of all experience gained while using the Engel & Volkers System and under the Franchise Agreement. This includes allowing Engel & Volkers, as well as other master franchisees, to utilize the know-how derived from the franchisee's experience without any charge. Engel & Volkers retains a perpetual, royalty-free license to use any amendments or improvements suggested by the franchisee. This ensures that the Engel & Volkers system can continuously evolve and improve based on the collective experiences of its franchisees.

This requirement means that any insights, innovations, or improvements a franchisee develops while operating their Engel & Volkers franchise must be shared with the franchisor and other franchisees. While the franchisee benefits from using the Engel & Volkers system, they also contribute to its ongoing development. The perpetual, royalty-free license granted to Engel & Volkers allows them to incorporate these improvements into the system without compensating the franchisee, which is a common practice in franchising to maintain uniformity and enhance the brand.

For a prospective Engel & Volkers franchisee, this clause highlights the collaborative nature of the franchise system. While franchisees are expected to adhere to the established system, they also have the opportunity to contribute to its evolution. However, it's important to recognize that any improvements or amendments they suggest become the property of Engel & Volkers, which can then be used across the entire franchise network. Franchisees should consider this when deciding whether to invest in the Engel & Volkers franchise, understanding that their innovations will benefit the entire system without direct financial compensation beyond the overall success of the brand.