Does Exit Realty Upper Midwest periodically inspect a franchisee's office to determine if it is being operated and maintained as required?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
3. Obligations After Opening.
During the operation of your Franchise, the following obligations will be met by EXIT Realty Upper Midwest and EXIT:
- (4) Periodically inspect your office to determine whether you are operating and maintaining it as required by the Franchise Agreement and Training Manuals and provide you written quality performance reviews. See Franchise Agreement, Section 13.
- (5) At your request, consult with you on technical matters. You must pay EXIT Realty Upper Midwest's then current charges and related travel and living expenses for these services. See Franchise Agreement, Sections 9 and 13.
Source: Item 11 — FRANCHISOR'S AND SUBFRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 19–24)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, Exit Realty Upper Midwest will periodically inspect a franchisee's office to ensure it is being operated and maintained as required. These inspections are conducted to determine whether the franchisee is adhering to the standards set forth in the Franchise Agreement and Training Manuals. Following the inspection, Exit Realty Upper Midwest will provide the franchisee with written quality performance reviews.
These periodic inspections are a standard practice in franchising, allowing the franchisor to maintain consistency and quality across all franchise locations. For a prospective Exit franchisee, this means they should expect regular evaluations of their office's operations and adherence to brand standards. These reviews can be beneficial, providing feedback and identifying areas for improvement.
It is important for potential franchisees to understand that these inspections are tied to the Franchise Agreement, specifically Section 13. Additionally, the FDD mentions that Exit Realty Upper Midwest may consult with franchisees on technical matters at the franchisee's request, for which the franchisee will be responsible for covering Exit Realty Upper Midwest's charges and related travel and living expenses. This highlights the ongoing support and oversight that Exit provides to its franchisees, ensuring compliance and offering assistance when needed.