table_specific

If purchasing an additional Remax franchise as an expansion office, during what period must the franchisee maintain a minimum number of sales associates, commencing the first day following the expiration of the first 36-month period after the Agreement Date?

Remax Franchise · 2025 FDD

Answer 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 as an expansion office, they must maintain a minimum number of sales associates commencing the first day following the expiration of the first 36-month period after the Agreement Date. This requirement extends through the remainder of the franchise term.

This stipulation is part of the agreement to ensure that expansion offices contribute adequately to the Remax network. By setting minimum agent counts, Remax aims to maintain a standard level of productivity and market presence across all its franchise locations, including those owned by existing franchisees.

For a prospective franchisee considering opening an expansion office, this means they need to plan for and achieve the required minimum number of sales associates within the specified timeframe to remain in compliance with the franchise agreement. Failure to meet these minimums could potentially lead to consequences outlined in the agreement.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.