What is the initial franchise fee for an Engel & Volkers Residential Real Estate Brokerage?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
l protect the franchisee's rights to use the trademarks, service marks, trade names, logotypes, or other commercial symbols or indemnify the franchisee from any loss, costs, or expenses arising out of any claim, suit, or demand regarding the use of the name.
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- MINNESOTA RULES 2860.4400(D) prohibits a franchisor from requiring a franchisee to assent to a general release.
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- The franchisee cannot consent to the franchisor obtaining injunctive relief. The franchisor may seek injunctive relief. See MINNESOTA RULES 2860.4400(J) also, a court will determine if a bond is required.
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- The Limitations of Claims section must comply with MINN. STAT. SECTION 80C.17 SUBD. 5.
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- Section 14.1 of the Franchise Agreement is amended by deleting it in its entirety and replacing it with the following:
Initial Franchise Fee: Franchisee will pay Franchisor a non-refundable Initial Fr
Source: Item 22 — CONTRACTS (FDD page 88)
What This Means (2025 FDD)
According to Engel & Volkers's 2025 Franchise Disclosure Document, the initial franchise fee for a Residential Real Estate Brokerage is $35,000. This fee is non-refundable and must be paid by cashier's check, bank certified check, or other means required by Engel & Volkers when the brokerage opens for business.
If, during the term of the franchise agreement, Engel & Volkers grants the franchisee the right to open additional physical locations within their existing protected area, the franchisee must pay an additional non-refundable initial franchise fee of $5,000 for each additional location. This fee is also payable via cashier's check, bank certified check, or other means required by Engel & Volkers at the time the right to open and operate the additional location is granted.
It is important for prospective franchisees to understand that the initial franchise fee grants them the right to operate under the Engel & Volkers brand and system. However, this fee only covers the training of one person under the Franchisee System Training. Additional training for other personnel will incur further fees. Franchisees should factor these additional training costs into their initial investment calculations.