How are the monthly Marketing Funds fees for Remax franchisees determined?

According to Remax's 2025 Franchise Disclosure Document, the Marketing Funds fees are fixed contractual fees paid monthly by franchisees. These fees are based on the number of RE/MAX agents in the franchised region or office, or the number of Motto offices. The revenues generated from these fees are specifically used for marketing campaigns aimed at building brand awareness and supporting agent marketing technology.

These Marketing Funds are contractually restricted for the benefit of franchisees. Remax recognizes an equal and offsetting liability on the company's balance sheet for all amounts received, ensuring that the revenues have no impact on the overall profitability of the company. This arrangement ensures that all funds collected are dedicated to marketing efforts that benefit the franchisees.

Continuing franchise fees are also relevant, as they are fixed contractual fees paid monthly. These fees are determined either by the number of RE/MAX agents in a region or office, or by the number of open Motto offices. For Motto offices, the full monthly billing amount is reached once the office has been open for 12 months. Like Marketing Funds fees, continuing franchise fees are recognized in the month for which they are billed and are considered a usage-based royalty, dependent on the number of agents or open offices.