If an Exit franchisee pays a $50 fee, how much is allocated to the U.S. Advertising Fund?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
Revenue**
All Commissions are to be entered into MEMO and will be subject to transaction fees unless the gross revenue is $250.00 or less.
e) Payment
Transaction Fees are payable by Franchise to Subfranchise and EXIT. Transaction Fees are payable at the finalization of the Transaction Side and are deducted from the Sales Representative's portion of the Commission.
3
A portion of each Transaction Fee is allocated as follows:
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Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, when a $50 fee is paid, $12.00 is allocated to the U.S. Advertising Fund. The U.S. Advertising Fund is used for advertising and promotion within the Exit system, and is administered by Exit.
In addition to the U.S. Advertising Fund, a $50 fee also allocates funds to other areas. Specifically, $1.67 is allocated to the U.S. Creative Fund, $1.67 to the U.S. Administrative Bonus Fund, and $1.67 to the U.S. Charitable Fund. These funds are also administered by Exit and used for their specified purposes.
It's important to note that all deposits to and expenditures from these funds are within the sole discretion of Exit. Exit is not required to spend any specific amount on advertising or promotion in any particular area or region. This means that while a portion of the fees is allocated to the U.S. Advertising Fund, Exit ultimately decides how those funds are spent.