What information is required for the 'Entity Name' field in the Exit Franchise Disclosure Document?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
9.3. Franchisee's Trade Name; Legal Name
- (A) Franchisee shall conduct its business under the trade name that includes the word "EXIT" and either the words "Realty" or "Real Estate" (hereinafter "Trade Style name"). Franchisee shall obtain Subfranchisor's written approval of its Trade Style name, prior to making any commitments or records of such name. The word EXIT must be positioned at the beginning of the name and EXIT must always be in CAPS. In no event shall such name contain any arbitrary, whimsical, invented or suggestive words or acronyms. Franchisee will file for a certificate of fictitious or assumed name in the manner required by applicable state law so as to notify the public that Franchisee is operating its Franchise as an independent business pursuant to this Agreement. Franchisee shall have no right to use or register the Trade Style name apart from the right granted under this Agreement, and all such rights shall cease upon the termination or expiration of this Agreement.
- (B) The Trade Style name is the name under which the Franchisee shall conduct business, and shall be different than Franchisee's legal entity name. Franchisee's legal name shall not include the name "EXIT."
- (C) Franchisee may not change the Trade Style name or the legal name without prior written consent of Subfranchisor, which shall not be unreasonably withheld.
- (D) If Franchisee decides to advertise, promote, or otherwise conduct business by means of the Internet or World Wide Web, Franchisee shall also utilize a domain name which includes the word "EXIT" and the EXIT Logo. Any such domain name must be approved by Subfranchisor in writing prior to Franchisee's use of it. All marketing shall be in accordance with the standards and guidelines provided in the Training Manuals.
- (E) Neither the Trade Style name nor any domain name, application name or social media profile name may include the words "National, International, Canada, U.S., or North America," nor provide any indication that the Franchisee has the exclusive rights under this Agreement to more than the Protected Territory.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the franchisee's legal entity name must not include the name "EXIT". The trade name, which is the name under which the franchisee conducts business, must be different from the franchisee's legal entity name. The franchisee must get written approval from the subfranchisor for its Trade Style name before making any commitments or records of such name. The word EXIT must be positioned at the beginning of the name and EXIT must always be in CAPS. The trade name cannot contain any arbitrary, whimsical, invented, or suggestive words or acronyms.
Exit requires the franchisee to file for a certificate of fictitious or assumed name as required by state law to notify the public that the franchisee is operating its franchise as an independent business. The franchisee does not have the right to use or register the Trade Style name apart from the right granted under the Franchise Agreement, and all such rights cease upon the termination or expiration of the agreement.
If the franchisee decides to advertise, promote, or otherwise conduct business by means of the Internet or World Wide Web, the franchisee must also utilize a domain name which includes the word "EXIT" and the EXIT Logo. Any such domain name must be approved by the subfranchisor in writing before the franchisee uses it. All marketing must be in accordance with the standards and guidelines provided in the Training Manuals. The trade style name, domain name, application name, or social media profile name may not include the words "National, International, Canada, U.S., or North America," nor provide any indication that the franchisee has the exclusive rights under the agreement to more than the Protected Territory.