How is the Renewal Fee calculated for an Engel & Volkers franchise?
Engel_Volkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee | Amount | Due Date | Remarks |
|---|---|---|---|
| Renewal Fee (See Note 1) | 50% of Initial Franchise Fee | Before the effective date of the Renewal Term | There are other requirements for renewal in addition to paying the renewal fee. |
Source: Item 6 — OTHER FEES (FDD pages 22–30)
What This Means (2025 FDD)
According to Engel & Volkers's 2025 Franchise Disclosure Document, the renewal fee is 50% of the initial franchise fee. This fee is due before the effective date of the renewal term. In addition to paying the renewal fee, there are other requirements for renewal that a franchisee must meet.
For a prospective Engel & Volkers franchisee, this means that renewing the franchise agreement will require a significant payment, equivalent to half of what they initially paid to start the franchise. This could be a substantial amount, depending on the initial franchise fee paid. Franchisees should factor this into their long-term financial planning and assess whether the benefits of renewing the franchise justify the cost.
It is important to note that paying the renewal fee is not the only condition for renewal. Engel & Volkers has other requirements that franchisees must satisfy to be eligible for renewal. A prospective franchisee should carefully review the full terms and conditions for renewal within the Franchise Agreement to fully understand all obligations.