What is the Exit franchisee contribution to the U.S. Administrative Bonus Fund if the fee is $400?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
| Description | $50 Fee | $150 Fee | $225 Fee | $300 Fee | $400 Fee |
|---|---|---|---|---|---|
| U.S. Advertising Fund | $12.00 | $36.00 | $54.00 | $72.00 | $96.00 |
| U.S. Creative Fund | $1.67 | $5.00 | $7.50 | $10.00 | $13.33 |
| U.S. Administrative Bonus Fund | $1.67 | $5.00 | $7.50 | $10.00 | $13.33 |
| U.S. Charitable Fund | $1.67 | $5.00 | $7.50 | $10.00 | $13.33 |
| U.S. Advertising Fund | $12.00 | $36.00 | $54.00 | $72.00 | $96.00 |
| U.S. Creative Fund | $1.67 | $5.00 | $7.50 | $10.00 | $13.33 |
| U.S. Administrative Bonus Fund | $1.67 | $5.00 | $7.50 | $10.00 | $13.33 |
| U.S. Charitable Fund | $1.67 | $5.00 | $7.50 | $10.00 | $13.33 |
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, a franchisee's contribution to the U.S. Administrative Bonus Fund is $13.33 if the fee is $400. This fund is one of several separate funds that Exit administers, including the United States Charitable Fund, United States Creative Fund, United States Advertising Fund, and Regional Development Fund. These funds are generated from a portion of the fees from each sale or lease transaction. None of these funds are audited.
The Administrative Fund is specifically used by Exit to distribute proceeds to Franchise Administrators as an annual bonus for support staff employed by the Franchise. However, Franchisees and Brokers of Record are not eligible for this bonus. The amount paid to the Franchise Administrators is determined at the discretion of the Franchise and is consistent across the Exit system.
If an Exit office does not have administrative staff or fails to submit the required Administrative Bonus information to Exit by April 30th each year, the Administrative Fund proceeds allocated for that office will be redirected to the United States Charitable Fund. This condition highlights the importance of maintaining administrative staff and meeting deadlines to ensure that the funds are used as intended for staff bonuses.