What is the recommended standard rate of Commission to be paid for an Exit listing referral?
Exit Franchise · 2025 FDDAnswer from 2025 FDD Document
13. The EXIT Referral System
- a) It is recommended that the Commission split for EXIT referrals remain uniform. The standard rate of Commission to be paid for an EXIT listing referral is 40% of the listing Commission received. The standard rate of Commission to be paid for an EXIT buyer referral is 25% of the selling Commission received. All referrals must be confirmed in writing on documentation supplied or approved by EXIT.
Source: Item 23 — RECEIPT (FDD pages 42–235)
What This Means (2025 FDD)
According to Exit's 2025 Franchise Disclosure Document, the recommended standard commission rate for an Exit listing referral is 40% of the listing commission received. For an Exit buyer referral, the standard rate is 25% of the selling commission received. All referrals must be confirmed in writing using documentation supplied or approved by Exit.
This means that if an Exit franchisee refers a client who lists a property with another Exit franchisee, the referring franchisee should receive 40% of the commission earned from the listing. Similarly, if a franchisee refers a buyer who purchases a property through another Exit franchisee, the referring franchisee should receive 25% of the selling commission.
It is important to note that these commission splits are recommended, suggesting that franchisees may have some flexibility in negotiating referral fees. However, maintaining uniform commission splits is encouraged. Additionally, all referral agreements must be documented in writing using approved forms to ensure clarity and compliance.