The Agency® Franchise Cost, Revenue & Review 2026
- Investment
- $120K – $896K
- Disclosed sales
- not disclosed
- SBA charge-off
- Under 10 loans (1)
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
The Agency is a luxury residential and commercial real-estate brokerage franchise with a boutique, collaborative model. Franchisees run offices recruiting and supporting agents, marketing premium properties, and earning from commissions.
FranchiseVerdict summary · 2026
A The Agency® franchise requires a total initial investment of $120K – $896K, including a $48K franchise fee and an ongoing 6.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 4 headline figures on this page cite a page of the filing.
Overview
- Investment
- $120K – $896K
- 72nd pct Real Estate
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 24th pct Real Estate
- Units
- 91
- 48th pct Real Estate
- SBA charge-off
- N/A
Quick verdict · Real Estate · color = vs category peers
Green = favorable by >10% vs Real Estate median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $120K – $896K including a $48K franchise fee, 6.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict A (Strongest tier), verdict score 71/100 (higher is better).
- GROWTHPositive: net +14 franchised outlets in the latest year (16 opened, 2 closed) (Item 20).
- GROWTHSystem growing at 157.1% CAGR over 3 years with 91 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- The Agency Real Estate Franchising, LLC
- Parent company
- The Agency Holdco, Inc.
- FDD Item 1, page 8 of the 2025 FDD
- Ultimate parent
- RealTech Holdings, Inc.
- FDD Item 1, page 8 of the 2025 FDD
- CEO title
- Chief Executive Officer
- Mauricio Umansky
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- Delaware
- HQ
- 331 Foothill Road, Suite 100, Beverly Hills, California 90210
- Auditor
- Holthouse | Carlin | Van Trigt LLP
- Audited financials
- Franchisor revenue
- $5.1M
- vs $3.3M prior year
Overview
About
- CEO
- Mauricio Umansky
- Headquarters
- CA
- Founded
- 2014
- FDD year
- 2025
- States available
- 25
Can you afford it, and what does the money buy?
Entry cost runs 282% above the typical real estate franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $48K | $48K |
| Working capital (3–6 mo) | $12K | $98K |
| Equipment, build-out, other | $61K | $751K |
| Total initial investment | $120K | $896K |
Source: The Agency® 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $120K – $896K
- Bottom third — review vs category
- Liquid capital req'd
- $12K – $98K
- Middle of category vs category
- Franchise fee
- $48K
- Middle of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 1.25% of Gross Revenue up to and including $5,000,000 1% …
- Total fee load
- 7.3%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Training fee | $1K |
| Transfer fee | $5K |
| Total fee load | 7.3% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
The Agency® makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one The Agency® unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 7.3% (near the Real Estate median).
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System expanding at 157.1% CAGR over 3 years across 91 units — operators are staying and new ones are joining.
Multi-unit rate
Only 10% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Real Estate medians
How The Agency® Compares
Category median of published Real Estate brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 91
- Opened
- 16
- Last reporting year
- Closed
- 2
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 2.2%
- Company-owned
- 37
- Corporate units in the system
- % franchised
- 59%
- vs corporate-owned
- Multi-unit owners
- 10.0%
- Net growth (3-yr)
- +157.1%
- Net unit change over 3 years
- 3-yr CAGR
- +157.1%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 2
- Not renewed
- 0
- Termination rate
- 2.2%
- Franchisor-initiated terminations
- Ceased ops
- 4.4%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 26 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
57 current owners across 28 states.
- CO 5
- FL 5
- TX 5
- WA 4
- MA 3
- NV 3
- NY 3
- HI 2
- ID 2
- MT 2
- OK 2
- OR 2
- +16 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $268K
- Median loan
- $268K
- 50th percentile
- Charge-off rate
- Under 10 loans (1)
- Insufficient SBA coverage: 1 loan, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (1)
- 5-yr charge-off
- Under 10 loans (1)
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Real estate franchisor with healthy financials (net worth $5.9M, net income $4.78M on $9.35M revenue) and strong growth (+157.1% to 91 units). 4 disclosed litigation cases, all settled or dismissed (including a $3.75M NAR antitrust class-action settlement), which is the main flag. No bankruptcy, going-concern, or turnover; financials audited.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Two cases: (1) Gael Fierro, et al. vs. National Association of Realtors - antitrust class action alleging inflated buyer broker commissions, settled June 2024 for $3,750,000; (2) Sam Hakim v. UMRO Realty Corp. - breach of duty and fraud claims regarding Malibu property transaction, dismissed with prejudice.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Holthouse | Carlin | Van Trigt LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Franchisor total revenue = royalties/referral fees ($9,128,824) + franchise fees ($220,858) for FY2024, per audited statements of income (Item 21 / Exhibit G).
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 71 / 100 verdict
- 01HIGH4 litigation cases, all settled/dismissed (incl. $3.75M NAR antitrust settlement)
- 02MINORStrong financials: net worth $5.9M, net income $4.78M on $9.35M revenue
- 03MINORRobust growth +157.1% to 91 units, 0% turnover
- 04MINORNo bankruptcy/going-concern; audited
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.3% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | No territory protection |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory population | 100,000 |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 4 |
| Mandatory arbitration | Yes |
| Arbitration location | Beverly Hills, California |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 4 |
View Item 3 litigation summary
Two cases: (1) Gael Fierro, et al. vs. National Association of Realtors - antitrust class action alleging inflated buyer broker commissions, settled June 2024 for $3,750,000; (2) Sam Hakim v. UMRO Realty Corp. - breach of duty and fraud claims regarding Malibu property transaction, dismissed with prejudice.
Items 10, 11
Training & Operations
- Classroom training
- 16 hrs
- On-the-job training
- 0 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Time to open
- 2 mo
- From signing to launch
- Site selection
- franchisee (with franchisor approval of proposed location)
- Franchisor financing
- Not offered
- Item 10
- POS system
- BrokerWolf
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: BrokerWolf
Item 20 · call current owners
Franchisee Contacts
57 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a The Agency® franchise?
The total investment to open a The Agency® franchise ranges from $120K – $896K, with an initial franchise fee of $48K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do The Agency® franchise owners earn?
The Agency® makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns The Agency®?
The Agency® is franchised by The Agency Real Estate Franchising, LLC. Its parent company is The Agency Holdco, Inc.. The ultimate parent named in the FDD is RealTech Holdings, Inc.. Source: FDD Item 1, 2025 filing.
What is Item 19 in the The Agency® FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the The Agency® FDD and qualifies whose outlets they describe.
What is The Agency®'s franchise failure rate?
SBA 7(a) loan charge-off data is not available for The Agency® (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many The Agency® franchise locations are there?
As of their most recent FDD filing, The Agency® has 91 total units in the United States, including 54 franchised units and 37 company-owned units. 16 new units were opened in the latest reporting year.
Is The Agency® a good franchise to buy?
FranchiseVerdict rates The Agency® as a A-grade franchise with a verdict score of 71 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.