Who is responsible for third-party broker fees related to the assignment of an Expense Reduction Analysts business?
Expense_Reduction_Analysts Franchise · 2025 FDDAnswer from 2025 FDD Document
- (9) You shall also be solely responsible for any third-party broker fees in connection with the assignment of Your Business.
Source: Item 23 — RECEIPTS (FDD pages 58–215)
What This Means (2025 FDD)
According to Expense Reduction Analysts' 2025 Franchise Disclosure Document, the franchisee is solely responsible for any third-party broker fees associated with the assignment of their Expense Reduction Analysts business. This means that if a franchisee decides to sell their business and uses a broker to facilitate the sale, they must cover the broker's fees.
This is a standard practice in franchising, as the franchisee is the one benefiting directly from the sale. The franchisor, Expense Reduction Analysts, is not involved in the broker selection or fee negotiation. Therefore, the financial responsibility falls on the franchisee.
Prospective Expense Reduction Analysts franchisees should consider this potential cost when evaluating the financial implications of selling their franchise in the future. It is advisable to factor in potential broker fees when planning their exit strategy and negotiating the sale price of their business.