If a Remax franchisee is purchasing an additional franchise (expansion office), when does the franchisee need to have the minimum number of sales associates?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
---------------------------------------------------------------------------------------------------------| | (2) | | Sales Associates commencing the first day following the expiration of the 24-month | | period following the Agreement Date and during each month thereafter through the 36th-month after the | | Agreement Date; and | | (3) | | Sales Associates commencing the first day following the expiration of the first 36- | | month period after the Agreement Date and during each month thereafter through the remainder of the Term. | | If as of the Agreement Date you own one or more RE/MAX franchises and you are purchasing an additional | | RE/MAX franchise (sometimes referred to as an "expansion office"), you agree to have the following Minimum Agent | | Count in your Office by the dates and during the periods set forth below: | | (1) | | Sales Associates by the end of the first 6-month period after the Agreement Date | | and during each month thereafter through the 12th month after the Agreement Date;
Source: Item 22 — Contracts (FDD pages 108–334)
What This Means (2025 FDD)
According to Remax's 2025 Franchise Disclosure Document, if an existing franchisee purchases an additional Remax franchise, also known as an "expansion office," they must meet specific minimum agent count requirements. The franchisee must have a certain number of sales associates by set deadlines after the agreement date.
Specifically, the franchisee must have a certain number of sales associates by the end of the first 6-month period after the agreement date and maintain that number through the 12th month. Following this, they must have another number of sales associates by the end of the first 12-month period, maintaining that number through the 24th month. The agent count increases again, requiring a certain number of sales associates commencing the first day following the expiration of the 24-month period, and this number must be maintained through the 36th month. Finally, the highest number of sales associates is required commencing the first day following the expiration of the first 36-month period and must be maintained for the remainder of the term.
This escalating requirement means that Remax franchisees opening expansion offices need to aggressively recruit and retain sales associates to meet these targets. Failure to meet these minimums could potentially impact the franchisee's ability to renew their franchise agreement, as compliance with the Minimum Agent Count is listed as a condition for renewal within the document.