According to Exit, how must the Sponsorship be acknowledged and verified by each Recruit?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
- f) It is mandatory that each Sales Representative be sponsored into the EXIT System. Sales Representatives cannot be designated as their own Sponsor nor can two Sales Representatives sponsor each other. The Sponsorship must be acknowledged and verified by each Recruit, in a manner satisfactory to EXIT via EXIT's online "EXIT Associate Profile".
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, it is mandatory for each sales representative to be sponsored into the Exit system. Sales representatives are not allowed to designate themselves as their own sponsor, nor can two sales representatives sponsor each other. To ensure proper acknowledgment and verification, each recruit must acknowledge and verify the sponsorship in a manner satisfactory to Exit through the online "Exit Associate Profile."
This process is crucial for maintaining the integrity of Exit's sponsoring system and ensuring that sponsoring bonuses are correctly allocated. The sponsoring bonus can be a significant incentive for Exit associates, as they are eligible to receive a bonus equal to 10% of the gross commissions generated by the recruit, up to a maximum of $10,000 per recruit per calendar year, less any applicable sponsoring bonus fees.
If a recruit is introduced to the Exit system by two sponsors, the sponsoring bonus will be split evenly between them. A recruit cannot have more than two sponsors. In cases where no sponsor has been provided and acknowledged in writing by the recruit, the franchise with whom the recruit is registered will be named the sponsor. This ensures that every sales representative is properly sponsored within the Exit system, and that the benefits and responsibilities associated with sponsorship are clearly defined and managed.