The Agency Real Estate Franchising, LLC

The franchise fee of $47,500 is significantly above the typical range for real estate service franchises ($20,000-$40,000). What specific services, technology, or training justify this premium pricing compared to your competitors?

Four litigation cases were initiated against the franchisor in the past 3 years. Can you provide details on the nature of these cases, their outcomes, and what changes were implemented to prevent future disputes?

Your system experienced 32.6% 3-year CAGR, well above the typical range of -3.1%-4.4%, growing from 39 to 91 units. What is driving this exceptional growth and how sustainable is this rate?

Turnover rates are significantly below typical range (3.7% 1-year vs. 4.0%-13.2% typical). Is this low turnover a result of excellent franchisee satisfaction, selective recruitment, or other factors?

Zero unit transfers have occurred in the system. What is your policy on unit transfers or sales between franchisees, and are there restrictions that prevent transfers?

Investment Costs score of 44/100 is below the typical range of 70-78. Can you break down the total first-year investment costs including working capital, real estate, technology, and other startup expenses?

The franchise agreement includes a 24-hour cure period for certain violations and binding arbitration with class action waiver. Have any franchisees contested these dispute resolution terms, and what is your rationale for individual arbitration?

Only 2 cases have been closed and terminated by you in the past 2 years out of 91 units. What specific violations or performance issues trigger termination, and how are underperforming franchisees supported?

Your territory is protected but non-exclusive. How do you prevent encroachment beyond the protected territory definition, and what mechanisms exist if a franchisee believes you've violated encroachment protection?

With no non-compete restriction (0 years / 0 miles), what prevents a former franchisee from immediately opening a competing real estate business in the same area?

The franchise agreement offers a 10-year initial term with 2 five-year renewals. What are the renewal fee costs, and under what conditions might renewal be denied?

System Health scored 80/100, above the typical range. What specific operational metrics and franchisee compliance standards support this high rating?

Support & Training scored 79/100, above the typical range. Can you detail the training hours, ongoing support frequency, technology platforms provided, and how support is delivered?

Of the 4 units that closed in 2022, were these closures voluntary or franchisor-initiated, and what were the primary reasons for exit?

Your Item 19 financial performance disclosure is not available. Do you provide any sales data, average unit volumes, or profitability information to prospective franchisees?

With a $5,000 transfer fee and no recent transfers, what is your approval process for franchisee-to-franchisee unit sales, and are there conditions that could prevent a transfer?

Real estate services franchises typically include advertising and technology costs. Beyond the 1.25% ad fund, what additional technology fees or marketing requirements should franchisees expect?

The agreement requires binding arbitration through AAA. In the past 3 years, how many disputes proceeded to arbitration versus being resolved through pre-arbitration mediation or direct negotiation?