Does Remax authorize its employees or representatives to make financial performance representations?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
We do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing RE/MAX® office, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the subfranchisor's management by contacting Josh Bolgren, Senior Vice President, Franchise Operations, RE/MAX Integrated Regions, LLC, 5075 South Syracuse Street, Denver, Colorado, 80237- 2712, (303) 770-5531, the Federal Trade Commission, and the appropriate state regulatory agencies.
Source: Item 19 — Financial Performance Representations (FDD page 89)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, Remax does not authorize its employees or representatives to make any representations, either orally or in writing, about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. However, if a prospective franchisee is purchasing an existing Remax office, Remax may provide the actual records of that specific outlet.
This policy is fairly standard in franchising. The FTC's Franchise Rule allows franchisors to provide information about potential financial performance if there is a reasonable basis for the information and if it is included in the disclosure document. Remax chooses to provide a general disclaimer, likely to avoid potential liability from overly optimistic or inaccurate projections.
Remax encourages prospective franchisees to report any unauthorized financial performance information or projections they receive to the subfranchisor's management, the Federal Trade Commission, and the appropriate state regulatory agencies. This is a protective measure for both the franchisee and the franchisor, ensuring that all financial discussions are above board and in compliance with regulations. Prospective franchisees should be wary of any financial projections not explicitly provided in Item 19 of the FDD or officially provided by Remax when purchasing an existing office.