What is the significance of RE/MAX and Motto being 100% franchised, according to Remax?
Remax Franchise · 2025 FDDAnswer from 2025 FDD Document
RE/MAX and Motto are 100% franchised—the Company does not own any of the brokerages that operate under these brands.
Source: Item 1 — Business and Organization (FDD pages 334–464)
What This Means (2025 FDD)
According to the 2025 Remax Franchise Disclosure Document, both the RE/MAX and Motto Mortgage brands operate under a 100% franchise model. This means that Remax, as the company, does not own any of the individual brokerage offices operating under these brand names. Instead, all locations are owned and operated by independent franchisees.
This structure is significant because it reflects Remax's business strategy of focusing on franchising and supporting its franchisees. By not owning any brokerages directly, Remax can concentrate its resources on providing services to its franchisees, such as brand development, technology, marketing tools, and educational resources. This allows Remax to build the strength of the RE/MAX and Motto brands through a network of independently owned and operated businesses.
For a prospective franchisee, this 100% franchised model suggests that Remax is primarily invested in the success of its franchisees. The company's revenue model relies on the fees and royalties paid by franchisees, aligning its interests with those of its franchise owners. However, it also means that the franchisee bears the full responsibility for the operational and financial performance of their individual brokerage.
This franchise-focused approach can be beneficial for experienced real estate professionals or investors looking to own and operate their own business under a well-established brand. However, it's crucial for potential franchisees to carefully evaluate the support and resources provided by Remax, as well as the obligations and responsibilities that come with owning a franchised brokerage.