According to Exit's 2025 Franchise Disclosure Document, Regional Development Fees for commissions paid in installments are calculated similarly to standard transactions. Each installment of a commission, whether paid before or after the closing date, is treated as a separate entry in Exit's computer system. The Regional Development Fee is then calculated using the same formula applied to all transactions.

For both residential and commercial transactions, each transaction side is typically subject to a $35 Regional Development Fee. However, if a transaction generates a gross commission of $2,500 or less, it is exempt from this fee. This means that even if a commission is paid in multiple installments, each installment will be assessed individually to determine if it meets the $2,500 threshold for fee applicability.

This approach ensures that Regional Development Fees are consistently applied across all types of commission payments. It also means that franchisees need to accurately and promptly enter each commission installment into Exit's system to ensure correct fee calculation. The maximum Regional Development Fees paid per calendar year per Sales Representative is $500 (pro-rated in the first calendar year).

For a prospective Exit franchisee, understanding this calculation method is crucial for budgeting and financial planning. Franchisees should ensure their accounting practices align with Exit's reporting requirements to avoid discrepancies in fee payments. Additionally, it's important to note that these fees are used for regional growth and development through advertising and promotion within the subfranchise region where the revenue is generated.