What measures has Exit taken to ensure it meets its obligations?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
Sales Representative shall abide by the quality controls and safeguards established or enacted by EXIT [Trade Name], Subfranchisor or EXIT, the intent of which is to ensure compliance with applicable laws and standards of the industry.
Sales Representative agrees to do everything possible and required to protect and maintain the highest ethical standards in the conduct of Sales Representative's real estate business.
Sales Representative shall maintain Sales
Representative's personal appearance and the appearance of Sales Representative's office in a clean and orderly manner. Sales Representative shall always maintain a professional profile on any web or social media sites. The Sales Representative shall provide dependable, efficient, courteous, high quality and professional real estate services to the public, of the same high quality and integrity as other brokers and sales representatives affiliated with EXIT [Trade Name], in order to create and maintain goodwill among the public for the entire EXIT System. Sales Representative shall strictly observe the most current operating procedures established by EXIT [Trade Name], Subfranchisor and EXIT from time to time.
Franchisee shall promptly and accurately report and enter all EXIT Associates of Franchisee (as defined in the EXIT Formula) into EXIT's proprietary software program, MEMO, and ensure the EXIT Associate roster is up to date regularly. Reporting shall occur when Sales Representatives are registered in the Multiple Listing Service ("MLS") system and when non licensed persons meet the qualification requirements outlined in the EXIT Formula.
Franchisee shall accurately report to Subfranchisor and EXIT, all transactions upon which Franchisee or its agents or sales representatives receive commission, including, by way of example and not limitation, rentals, leases and sales of land, commercial buildings, residential units, condominiums and mobile homes, and shall timely remit and pay transaction fees and other continuing fees due with respect to each transaction. Franchisee shall ensure that all sales representatives accurately report all such transactions to Franchisee and that all sales representatives who perform services with or through joint sales and marketing groups, or "teams," accurately report such activity, participation and their transactions in MEMO. Franchisee, or if Franchisee is an entity, all equity holders of Franchisee, must also ensure that all their transactions are accurately reported in MEMO and that all applicable fees, including but not limited to Company Development Fees, are paid. These payments are due immediately upon the finalization of each transaction.
Prior to the opening of the franchise business, Subfranchisor will make available to Franchisee, one (1) copy of Training Manual, together with any amendments to the manual. The manual will include standard operating procedures and quality control directives designed to familiarize Franchisee with the System and better enable it to run an efficient office.
(C) Subfranchisor shall maintain reasonable supervision over Franchisee as often as Subfranchisor shall deem necessary, to assure compliance with the System and any supplemental quality control standards as established by EXIT and Subfranchisor from time to time, and to provide guidance in the management and operations of Franchisee's office.
(E) Subfranchisor shall limit the offering of EXIT Realty Corp. franchises to persons or entities who possess a valid real estate broker's license.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, Exit uses several methods to ensure compliance with legal and ethical standards. Exit requires sales representatives to adhere to quality controls and safeguards that Exit has put in place to ensure compliance with laws and industry standards. Exit also requires sales representatives to maintain ethical standards in their real estate business, maintain a clean and orderly appearance, and maintain a professional profile on web and social media sites. Sales representatives must also provide dependable, efficient, courteous, high quality and professional real estate services to the public and strictly observe the most current operating procedures established by Exit.
Exit also has franchisees promptly and accurately report all Exit Associates into Exit's proprietary software program, MEMO, and ensure the Exit Associate roster is up to date regularly. Reporting must occur when Sales Representatives are registered in the Multiple Listing Service and when non licensed persons meet the qualification requirements outlined in the EXIT Formula. Franchisees must accurately report to Subfranchisor and Exit all transactions upon which Franchisee or its agents or sales representatives receive commission, including rentals, leases and sales of land, commercial buildings, residential units, condominiums and mobile homes, and shall timely remit and pay transaction fees and other continuing fees due with respect to each transaction.
Subfranchisors also have obligations to ensure compliance with the Exit system. Prior to the opening of the franchise business, the Subfranchisor will make available to Franchisee, one (1) copy of Training Manual, together with any amendments to the manual. During the operation of the franchise business, the Subfranchisor must maintain reasonable supervision over Franchisee as often as Subfranchisor deems necessary, to assure compliance with the System and any supplemental quality control standards as established by EXIT and Subfranchisor from time to time, and to provide guidance in the management and operations of Franchisee's office. The Subfranchisor must also limit the offering of Exit Realty Corp. franchises to persons or entities who possess a valid real estate broker's license.