When is the Limited Purpose Location Fee due for an Engel & Volkers franchise?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| 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. |
Source: Item 6 — OTHER FEES (FDD pages 22–30)
What This Means (2025 FDD)
According to Engel & Volkers's 2025 Franchise Disclosure Document, the Limited Purpose Location Fee is due upon receipt of an invoice. This fee is $2,500 per location.
This fee is applicable if Engel & Volkers permits a franchisee to open an additional physical location for sales or administrative purposes. This means that franchisees need to budget for this expense if they plan to expand their physical presence with approval from the franchisor.
It is important for prospective franchisees to understand the conditions under which this fee is charged, as opening additional locations can significantly impact their overall investment and operational costs. Franchisees should clarify with Engel & Volkers the specific criteria and approval process for establishing limited purpose locations to avoid unexpected expenses.