What is the range of the initial franchise fee for an Exit franchise?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of | When Due | To Whom |
|---|---|---|---|---|
| Payment | Paid | |||
| Initial Franchise Fee1 | $7,500 - $25,000 | Lump Sum | When you sign the Franchise Agreement | EXIT Realty Upper Midwest1 |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 15–17)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the initial franchise fee ranges from $7,500 to $25,000. This fee is paid in a lump sum when the Franchise Agreement is signed and is payable to Exit Realty Upper Midwest. Note 1 in Item 7 states that Exit Realty Upper Midwest retains 75% of the initial fee, while Exit is paid the remaining 25%.
This initial franchise fee is a one-time payment that grants the franchisee the right to operate an Exit franchise. It covers Exit's initial costs in setting up the franchise and providing initial training and support. It's important to note that this fee is non-refundable from Exit, as stated in the document.
Prospective franchisees should consider this fee as a significant upfront cost when evaluating the financial feasibility of opening an Exit franchise. It is essential to have the required capital available at the time of signing the Franchise Agreement. Understanding how this fee is split between Exit Realty Upper Midwest and Exit is also crucial for financial planning.