factual

Is it mandatory for each Sales Representative to be sponsored into the Exit System?

Exit Franchise · 2025 FDD

Answer from 2025 FDD Document

  • f) It is mandatory that each Sales Representative be sponsored into the EXIT System. Sales Representatives cannot be designated as their own Sponsor nor can two Sales Representatives sponsor each other. The Sponsorship must be acknowledged and verified by each Recruit, in a manner satisfactory to EXIT via EXIT's online "EXIT Associate Profile".
  • g) In the event that a Recruit is introduced to the EXIT System by two Sponsors, then the Sponsoring Bonus will be split evenly between the Sponsors. A Recruit cannot be sponsored into the EXIT System by more than two Sponsors.
  • h) EXIT Franchises may be designated as the Sponsor for a Recruit. (For the purposes of awards recognition only, the Franchise Sponsor shall name the individual(s) responsible for the introduction of the Recruit.) All other Sponsoring Bonuses will be payable to an individual Sponsor, unless the Sponsor signs a direction that their Sponsoring Bonuses be

Source: Item 23 — RECEIPT (FDD pages 42–235)

What This Means (2025 FDD)

According to Exit's 2025 Franchise Disclosure Document, it is mandatory for each Sales Representative to be sponsored into the Exit System. This means that every sales representative who joins an Exit franchise must be associated with a sponsor. The Sales Representatives cannot sponsor themselves, nor can two sales representatives sponsor each other.

The sponsorship must be acknowledged and verified by each recruit through Exit's online "EXIT Associate Profile". This process ensures that the sponsorship is officially recognized and documented within the Exit system.

Exit franchises may be designated as the sponsor for a recruit. For awards recognition, the franchise sponsor will name the individual responsible for introducing the recruit. All other Sponsoring Bonuses will be payable to an individual Sponsor, unless the Sponsor signs a direction that their Sponsoring Bonuses be paid to a U.S. or Canadian legal entity of which they (including the interests of their spouse) owns the controlling voting and equity interests.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.