Besides the real estate broker license, are there other restrictions on what an Exit franchisee may sell?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
Subject to your state and local laws, you, or your approved designee, must be a licensed real estate broker under the laws of the state within which your office will be located. You must use your office solely for the operation of an EXIT Franchise. You must not use or permit the use of the premises for any other purpose or activities, at any time, without first obtaining our written consent.
You have complete discretion as to the prices to be charged to customers for the offer and sale of any goods and services.
We do not impose any other restrictions in the Franchise Agreement or otherwise, as to the goods or services which you may offer or sell or as to the customers to whom you may offer or sell.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD page 27)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, franchisees must be a licensed real estate broker and operate the office solely as an Exit franchise. Franchisees cannot use the premises for any other purpose without written consent from Exit. However, Exit does not impose any other restrictions in the Franchise Agreement or otherwise, as to the goods or services which franchisees may offer or sell or as to the customers to whom they may offer or sell.
This means that while franchisees must focus on operating an Exit real estate franchise, they have discretion in setting prices for their services. They are also generally free to decide what goods or services to offer and to whom, beyond the core real estate services, subject to state and local laws.
However, franchisees are not allowed to directly or indirectly engage in any business or use the Proprietary Marks or any part of the System for any purpose or in any manner not contemplated in the Franchise Agreement, without prior written consent. If a franchisee wants to offer services outside of the Exit system (e.g., property management), they must do so through a separate legal entity, not through the Exit franchise itself.
In summary, while Exit requires franchisees to maintain a real estate broker license and primarily operate an Exit franchise, they retain some flexibility in pricing and the specific services they offer. However, any additional business ventures outside the core Exit system must be conducted through a separate entity and with the franchisor's approval.