Where are Engel & Volkers National Marketing and Technology Fund contributions deposited?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
All Marketing and Technology Fund contributions to the National Marketing and Technology Fund will be deposited in our general operating account. Upon written request, we will furnish you with an annual financial statement for the National Marketing and Technology Fund. These annual financial statements are usually available on or about April 30th of each year. You may request to inspect the books and records related to the National Marketing and Technology Fund during our normal business hours. If the total contributions to the National Marketing and Technology Fund exceed the expenditures from the fund in any calendar year, the excess will be retained in the fund for future Marketing and Technology Fund expenses.
The National Marketing and Technology Fund is not held in trust and we do not manage the fund in a fiduciary capacity. The National Marketing and Technology Fund is not audited.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS, AND TRAINING (FDD pages 43–54)
What This Means (2025 FDD)
According to Engel & Volkers's 2025 Franchise Disclosure Document, all contributions to the National Marketing and Technology Fund are deposited in Engel & Volkers's general operating account. This means that the funds are not held in a separate, dedicated trust account, which is a notable point for prospective franchisees. Engel & Volkers does not manage the fund in a fiduciary capacity, and the fund is not audited.
While the funds are intended to maximize recognition and customer support for all Engel & Volkers Residential Real Estate Brokerages, Engel & Volkers does not guarantee that a franchisee's brokerage will directly benefit from advertising or in proportion to their contributions. Franchisees can request an annual financial statement for the National Marketing and Technology Fund, typically available around April 30th each year, and may inspect the fund's books and records during normal business hours.
If the total contributions exceed expenditures in a calendar year, the excess is retained in the fund for future expenses. These contributions, along with any interest, dividends, or other earnings, will be used for national, regional, or local media, marketing techniques, technologies, or programs aimed at promoting franchisee services. These funds can also cover creation and production costs, including providing the Integrated Product Suite and copies of the GG Magazine, as well as accounting, bookkeeping, administrative, and legal expenses associated with the fund.