If a Remax franchisee purchases additional Remax franchises in the future, will those franchises be governed by the same franchise agreement as the original franchise?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
However, in the event you purchase, acquire, or open one or more additional RE/MAX franchises in the future, each such franchise will be governed by a separate franchise agreement under a separate franchise term, which franchise agreement may have materially different and less favorable terms than this Agreement.
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, if a franchisee purchases, acquires, or opens additional Remax franchises in the future, each franchise will be governed by a separate franchise agreement with a separate franchise term. This is a standard practice in franchising, as it allows the franchisor to update agreements and ensure each franchise operates under the most current terms.
This new agreement for subsequent franchises may include materially different and less favorable terms than the original agreement. This means that fees, royalties, operational requirements, or other obligations could be different (and potentially more burdensome) for the new franchise compared to the initial one.
Prospective franchisees should carefully review the terms of any new franchise agreement before expanding their Remax business. Understanding these potential differences is crucial for financial planning and operational management. Franchisees should consult with a legal and financial advisor to fully understand the implications of entering into a new franchise agreement for each additional location.