Who controls and administers the Remax Marketing Fund?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
REMAX Regional or its designee will collect monies paid to (i) the Marketing Fund described in Subsection 6.D and (ii) the Hot Air Balloon Fund described in Subsection 6.E. REMAX, LLC will receive monies paid to, control and administer the Marketing Fund and REMAX, LLC or REMAX Regional will control and administer the Hot Air Balloon Fund. Although the specific use and allocation of monies in the Marketing Fund and the Hot Air Balloon Fund shall be determined by REMAX, LLC in its sole discretion and may change from time to time, all monies in the Marketing Fund, including any interest, dividends, capital gains or other income, will be used for the preparation and placement of national, international, pan-regional, regional or local advertising, and for marketing materials, promotions, and programs, public relations activities, consumer surveys, technology related services including development and maintenance and administrative costs. Examples of possible uses of the Marketing Fund include: national, regional and local television, video, radio, billboard and other out of home media advertising, print, digital, social, balloon and other media campaigns, as well as technology (which may include, without limitation, costs related to the development, operation, and maintenance of (a) remax.com and/or RE/MAX office and Sales Associate websites; (b) lead and customer relationship management solutions; (c) mobile applications; and (d) a marketing portal). REMAX, LLC reserves the right to make certain assets owned by REMAX, LLC, including REMAX, LLC's websites, domain names, and trademarks, available to Related Parties of REMAX, LLC for purposes related to their advertising and marketing efforts, including, for example, advertising on websites owned by REMAX, LLC. In addition, the Marketing Fund may pay for special high-profile opportunities and may contribute together with some or all of the marketing and advertising funds of Independent Regions to fund national and pan-regional creative development and media purchases.
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, REMAX, LLC has control over and is responsible for administering the Marketing Fund. The funds collected are intended to maximize public recognition of the Remax brand and the services offered by Remax offices.
While Remax, LLC determines the specific use and allocation of the Marketing Fund monies, these funds are to be used for advertising, marketing materials, promotions, public relations, consumer surveys, technology-related services, and administrative costs. Examples include national, regional, and local advertising across various media, technology development for websites and mobile applications, and special high-profile opportunities.
The FDD also clarifies that neither Remax nor REMAX, LLC has any obligation to ensure that the expenditures from the Marketing Fund are proportionate or equivalent to the contributions made by individual Remax offices. Additionally, there is no guarantee that any specific Remax office will directly benefit from the marketing and advertising efforts in proportion to their contribution. This means that while franchisees contribute to the Marketing Fund, the benefits they receive may not directly correlate with their financial input.
Prospective franchisees should understand that Remax has the discretion to modify or waive Marketing Fund contributions and operations, potentially leading to different contribution bases among franchisees. Furthermore, neither Remax nor REMAX, LLC assumes any fiduciary responsibility to franchisees concerning the establishment, collection, control, or administration of the Marketing Fund. This arrangement gives Remax significant control over the fund's usage and allocation, with the primary goal of enhancing the overall Remax brand recognition.