factual

What is the maximum Sponsoring Bonus Fee charged by Exit per Transaction Side?

Exit Franchise · 2025 FDD

Answer from 2025 FDD Document

  • m) Each Sponsoring Bonus is subject to a Sponsoring Bonus Fee of 10% of the Sponsoring Bonus per Transaction Side to a maximum of $75 per Transaction Side.

Sponsoring Bonus Fees for referrals between EXIT Offices will be pro-rated in the same manner as outlined in Section 6.c) above.

The Sponsoring Bonus Fee shall cease each calendar year once the sponsored Sales Representative generates $100,000 of gross Commissions for their Franchise(s) in that calendar year (pro-rated in the first calendar year).

The Sponsoring Bonus Fee is deducted by EXIT prior to disbursement of the Sponsoring Bonus.

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

What This Means (2025 FDD)

According to Exit's 2025 Franchise Disclosure Document, each Sponsoring Bonus is subject to a Sponsoring Bonus Fee. This fee is 10% of the Sponsoring Bonus per Transaction Side, but it will not exceed $75 per Transaction Side. This fee is deducted by Exit before the Sponsoring Bonus is paid out to the sponsor.

For an Exit franchisee, this means that when a sales representative they sponsor generates commissions, they may be eligible for a Sponsoring Bonus. However, before receiving that bonus, Exit will deduct a fee. This fee is capped at $75 per transaction side, even if 10% of the bonus exceeds that amount.

The Sponsoring Bonus Fee will stop being charged once the sponsored Sales Representative generates $100,000 of gross Commissions for their Franchise(s) in that calendar year. This is pro-rated in the first calendar year. Also, Sponsoring Bonus Fees for referrals between Exit Offices will be pro-rated.

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.