For an Exit franchise, what is the range of monthly installment payments, and until what date are these payments required?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
nd the outstanding notes associated with the franchise territories that were renewed on September 10, 2023, as disclosed in Note 1. Below is a summary of the restructured debt by note at September 12, 2023:
| Balance before Restructure | Advances | Debt Reduction | Balance after Restructure | |
|---|---|---|---|---|
| Franchise territory – IL | $ 702,045 | $ 277,019 | $ (606,327) | $ 372,737 |
| Franchise territory – MN | 60,106 | 127,745 | (17,430) | 170,421 |
| Franchise territory – WI | 467,232 | 70,518 | (192,906) | 344,844 |
| Franchise territory – MI | 1,088,526 | 46,973 | (458,523) | 676,976 |
| Total | $ 2,317,909 | $ 522,255 | $ (1,275,185) | $ 1,564,978 |
Included in advances is an escalation of the Illinois territory addition of $198,629, financing of debt payments in arrears of $235,210, and franchise renewal fees of $88,416.
Upper Midwest Realty, Inc. d.b.a. Exit Realty Upper Midwest 19 Notes to Financial Statements (continued) December 31, 2024, 2023, and 2022
**NOTE 3 – NOTES PAYABLE (continue
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the monthly installment payments for franchise territories vary depending on the specific territory. The FDD outlines the payment terms for territories in Wisconsin, Minnesota, Michigan, and Illinois.
For the Wisconsin territory, the monthly installments range from $2,381 to $3,844. For the Minnesota territory, the monthly installments range from $1,177 to $1,900. The Michigan territory requires monthly installments ranging from $4,675 to $7,546. Finally, the Illinois territory has monthly installments ranging from $2,574 to $4,155.
All of these installment payments are required through September 2033, and interest accrues on the notes at a rate of 3.00% per annum. This means that prospective Exit franchisees need to consider these ongoing payment obligations when evaluating the financial feasibility of acquiring a franchise in these territories.