How does the Exit
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
ses, unless the Sponsor returns to the EXIT System within 30 days of departure. For any Recruits the Sponsor sponsored into the EXIT System prior to the Sponsor's departure, the Sponsoring Bonuses accruing subsequent to the Sponsor's departure will be redirected to the primary role Franchise or Subfranchise most recently under written contract with the Sponsor for at least 90 days prior to the time of departure or, if the Franchise no longer exists, to the Subfranchise. For purposes of the EXIT Formula, the "primary role" Franchise or Subfranchise will be designated by the Sponsor/EXIT Associate, if there is more than one role performed by the Sponsor.
EXIT Formula (U.S. Version Rev. 03.23.25)
- r) Should a Recruit return to the EXIT System within two years of departure, then the named Sponsor at the time of the Recruit's termination will, upon reinstatement of the Recruit, be entitled to receive the Sponsoring Bonus for this Recruit. If the Sponsor is no longer in the EXIT system or has lost their sponsorship due to circumstances outlined in 9(q), then the EXIT Franchise that held the Sponsor's license, or employed the Sponsor at the time of departure, will immediately become the Sponsor or, if the Franchise no longer exists, the Subfranchise of that Franchise will become the Sponsor.
- s) Should a former EXIT Associate return to the EXIT System after an absence of more than two years, the returning EXIT Associate will be processed as a new EXIT Associate.
10. EXIT Part-time and Retirement Program
- a) All EXIT Associates are automatically eligible to receive Sponsoring Bonuses at the rate of 10% until December 31st of the year in which the EXIT Associate joins EXIT. For those EXIT Associates who join after October 1st, the 10% eligibility will continue for the remainder of the calendar year in which the EXIT Associate joins EXIT, and for the entire calendar year following.
- b) If the EXIT Associate does not close a minimum of eight Transaction Sides or earn at least $40,000 in gross closed Commissions per calendar year (pro-rated in the first year and extended as noted in Section 10.a) above for those EXIT Associates who join after October 1st), the EXIT Associate shall be designated "part-time" for the following calendar year. (This minimum sales production does not apply to Franchi
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the Exit Formula outlines how revenue is distributed within the Exit system. The Exit Formula designates the "primary role" Franchise or Subfranchise, if the Sponsor/EXIT Associate performs more than one role.
The Exit Formula also addresses scenarios where a Recruit (someone brought into the Exit system) returns after a period of absence. If a Recruit returns to the Exit System within two years of departure, the original Sponsor is entitled to receive the Sponsoring Bonus upon reinstatement. However, if the Sponsor is no longer with Exit or has lost their sponsorship, the Exit Franchise that held the Sponsor's license or employed them at the time of departure becomes the Sponsor. If that Franchise no longer exists, the Subfranchise of that Franchise assumes the role of Sponsor. If a former Exit Associate returns after an absence of more than two years, they are treated as a new Exit Associate.
Exit also has a Part-time and Retirement Program that affects the Exit Formula. All Exit Associates are initially eligible to receive Sponsoring Bonuses at a rate of 10% until December 31st of the year they join Exit. For those joining after October 1st, this 10% eligibility extends through the following calendar year. However, if an Exit Associate does not close a minimum of eight Transaction Sides or earn at least $40,000 in gross closed Commissions per calendar year (pro-rated in the first year and extended for those joining after October 1st), they are designated "part-time" for the following year. Franchisees and Subfranchisors are exempt from this minimum sales production requirement. Finally, an Exit Associate can "retire" from the real estate business and continue to receive Sponsoring Bonuses by signing an affidavit stating they will not work for a competing real estate company. In this case, the Exit Associate remains affiliated with Exit under the Franchise or Subfranchise that formerly held their license or contract, subject to the approval of the Franchisee or Subfranchisor.