Sample Franchise Agreement
REAL ESTATE BROKERAGE FRANCHISE AGREEMENT
This Agreement is entered into on this ___ day of ________, 20, by and between:
Coast & Cottage, Inc., a [Florida] corporation with principal offices at [Lantana] ("Franchisor"),
and
[Franchisee Name], a [Type of Entity] organized under the laws of the State of [State] with its principal office at [Address] ("Franchisee").
1. GRANT OF FRANCHISE
Franchisor grants to Franchisee the non-exclusive, non-transferable right to operate a real estate brokerage business under the “Coast & Cottage” trademark, trade name, logos, and business system (collectively, the “System”) at a location approved in writing by Franchisor (the “Franchised Location”).
2. TERM AND RENEWAL
This Agreement shall be for an initial term of five (5) years, commencing on the Effective Date. Franchisee may renew for additional five-year terms upon satisfaction of renewal conditions, including Franchisor’s approval and execution of then-current franchise agreements.
3. INITIAL FRANCHISE FEE
Franchisee shall pay to Franchisor a one-time, non-refundable initial franchise fee of $[amount], due upon execution of this Agreement.
4. ROYALTIES
Franchisee shall pay Franchisor a royalty fee of [e.g., 6%] of gross revenues, payable on a monthly basis no later than the 10th day of the following month.
5. BRAND STANDARDS AND OPERATIONS
Franchisee agrees to operate the franchised business in compliance with Franchisor’s operations manual, policies, and procedures, including but not limited to:
Use of trademarks and signage
Advertising and marketing guidelines
Broker licensing compliance
Staff training and conduct
6. MARKETING FUND
Franchisee shall contribute [e.g., 1%] of gross revenues to a national marketing fund managed by Franchisor. Contributions are due monthly along with royalty payments.
7. TRAINING AND SUPPORT
Franchisor will provide initial training and ongoing support, including:
Broker onboarding
Technology and CRM access
Compliance updates
Business development tools
8. CONFIDENTIALITY
Franchisee shall not disclose any confidential information received from Franchisor, including operational materials, customer data, or marketing strategies, during or after the term of this Agreement.
9. TERMINATION
Franchisor may terminate this Agreement upon notice if Franchisee:
Fails to pay fees
Breaches confidentiality or brand standards
Becomes insolvent or bankrupt
Loses required real estate licensing
Franchisee may terminate with 90 days’ written notice, subject to settlement of all financial obligations.
10. POST-TERMINATION OBLIGATIONS
Upon termination or expiration:
Franchisee shall immediately cease use of all trademarks, branding, and proprietary systems.
All outstanding royalties and fees shall be paid within 30 days.
Franchisee shall return or destroy all proprietary materials.
11. GOVERNING LAW
This Agreement shall be governed by and construed in accordance with the laws of the State of [Insert State], without regard to conflict of law principles.
12. ENTIRE AGREEMENT
This document constitutes the entire agreement between the parties. Any changes or modifications must be in writing and signed by both parties.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.
COAST & COTTAGE, INC.
By: ___________________________
Name:
Title:
[FRANCHISEE NAME]
By: ___________________________
Name:
Title: