FAQ - Commission Express

How Much Capital Do I Need?

Each Commission Express office is independently owned and operated.

For a Protected Development Territory franchise, You will need anywhere from $150,000 to $300,000 available capital to successfully run your business depending on the size of your protected territory

For an Open Market Development Territory franchise, you will need $20,000 to $40,000 (US) to purchase your franchise. You will need anywhere from $100,000 to $200,000 available capital to successfully run your business, depending on the size of your open market territory.” Next line down, please add “The amount of capital needed will vary depending on the franchise type, territory size, and the economic landscape of your market area.

How Does a Protected Territory Differ from an Open Market Territory?

A Protected Development Territory has only one franchise within the territory. An Open Market Territory can have multiple franchises operating within the territory.

As a COMMISSION EXPRESS Franchise, Am I a Lender?

No. As a Franchisee, you operate as a factor purchasing accounts receivable at a discount under the Uniform Commercial Code that has been adopted by all 50 states.

Can I Reject the Purchase of a Customer’s Receivable?

Yes. We provide you with underwriting procedures to evaluate the strengths and weaknesses of each receivable. Based on your evaluation and your own business experience, you may reject the purchase of a receivable.

What Kind of Experience is Most Helpful to a COMMISSION EXPRESS Franchisee?

Familiarity with the residential real estate business is helpful because our customers are real estate salespeople but any person with good business experience would be a candidate.

Why Don’t Real Estate Agents Simply go to a Bank and Borrow the Money?

Obtaining a bank loan is often a long and complex process involving substantial amounts of paperwork and a flawless credit history. Our customers can sell us a receivable and can often get a advance the same day.

Where Will Training Take Place?

Initial training will take place at our National Office in Fairfax, Virginia, and can also be completed virtually. Optional onsite training can be scheduled at your office on a consulting basis if needed.

Can I Operate Another Business in Addition to a COMMISSION EXPRESS Franchise?

In some cases, yes. As with any venture, you need to ask if your current business is compatible and whether the combination of activities causes any actual or perceived conflict of interest, ethical concerns, or legal breaches. However, our most successful franchisees are those whose sole business is the COMMISSION EXPRESS business.

Does COMMISSION EXPRESS National Provide Any of the Required Capital?

While COMMISSION EXPRESS may provide a capital facility in the future, you are currently required to either have or have access to sufficient capital to operate your business.

How Much is the Royalty?

The royalty is 9% of annual income to $300,000; 4.5% to $600,000; and 1% over $600,000 on a monthly basis (subject to a variable monthly minimum – based on the type, size and year of the franchise unit).

Do I Pay an Advertising Fee?

Yes. The advertising fee is 1% of your gross annual income on a monthly basis (subject to a variable monthly minimum – based on the type, size and year of the franchise unit) and $6,000 annual maximum per calendar year.

Do I Start Paying the Royalty and Advertising Fee the Month I Open?

No. You pay no royalty or advertising fee the first three months that you are open.

What Do I Do Next?

We encourage you to complete and submit the Application Qualification Summary.

What Territories are Currently Available?

Please call us at 888-560-5501 to discuss the availability of territories.

Do I Need an Office?

No – An office is not required.

Frequently Asked Questions