Start a Coldwell Banker Real Estate Franchise in 2024

2024 Franchise 500 Rank: N/R Ranked #114 last year

Initial investment: $31K - $492K

Units as of 2022: 2,802 14% over 3 years

Coldwell Banker Real Estate is a company that deals in real estate based in Madison, New Jersey. The company is owned by Realogy and was founded in 1906 by Arthur Banker and Colbert Coldwell. The company ran its first operations in San Francisco, California before establishing its headquarters in New Jersey.

Coldwell Banker Real Estate offers homes to buy or lease across more than 49 countries and territories with over 3,000 offices ready to serve you. Over 2,200 of their offices are run by franchisees.

Why You May Want to Start a Coldwell Banker Real Estate Franchise

Starting a real estate franchise such as Coldwell Banker Real Estate likely requires a franchisee to be full of grit. The company promises its franchisees a standard of ingenuity and excellence in the competitive world of real estate.

A franchisee must also have a real estate firm that is currently running. However, the company may allow a new real estate brokerage firm to own a franchise. The franchisor also doesn't offer exclusive territories, so a franchisee is expected to be tenacious in the face of competition from other franchisees.

Coldwell Banker Real Estate has been ranked in Entrepreneur's Franchise 500 based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.

What Might Make a Coldwell Banker Real Estate Franchise a Good Choice?

Coldwell Banker Real Estate offers franchisees an opportunity to own a portion of the real estate brokerage market. Its brand values and strength may give franchisees an edge thanks to its state-of-the-art technology and global network. The franchisor also has values that may turn franchisees into dominant winners in their field.

Coldwell Banker Real Estate expects the franchisee to have a hands-on approach to running the business. As you decide if opening a Coldwell Banker Real Estate franchise is the right move for you, make sure you take time to explore the opportunity. Research the brand and your local area to see if this franchise would do well in your community. While competition is healthy, too much of it may not allow for the most possible growth.

How To Open a Coldwell Banker Real Estate Franchise

To be part of the Coldwell Banker Real Estate team, you should make sure you're financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for potential fees such as leasehold improvements, building, yard, and open house sign fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.

A franchisee looking to own and open a Coldwell Banker Real Estate franchise should consider where they would like to operate. Location is critical because the franchisee will be expected to work only from the offices identified in the franchise agreement.

The franchisor offers the franchisee support in the form of orientation at inception. After that, the franchisor will provide ongoing support in the form of any changes or improvements to the Coldwell Banker Real Estate system. Finally, the franchisor will offer continuing training and education courses.

Company Overview

About Coldwell Banker Real Estate

Industry	Services (Other)
Related Categories	Real Estate
Founded	1906
Parent Company	Anywhere Real Estate Inc.
Leadership	M. Ryan Gorman, CEO
Corporate Address	175 Park Ave. Madison, NJ 07940
Social	Facebook, Twitter, LinkedIn, Instagram, YouTube

Business Overview

Franchising Since	1982 (42 years)
# of employees at HQ	59
Where seeking	This company is offering new franchises throughout the US. This company is offering new franchises worldwide.
# of Units	2,802 (as of 2022)

Information for Franchisees

Here's what you need to know if you're interested in opening a Coldwell Banker Real Estate franchise.

Financial Requirements & Ongoing Fees

Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Initial Franchise Fee Definition: The initial fee paid to a franchisor to join their system What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.	$0 - $25,000
Initial Investment Definition: The total amount necessary to begin operation of the franchise What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.	$31,175 - $491,875
Net Worth Requirement Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.	$150,000
Cash Requirement Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.	$75,000
Veteran Incentives Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.	Franchise fee waived or reduced; startup funding of $25,000
Royalty Fee Definition: A ongoing fee paid to the franchisor on a regular basis. What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.	Varies
Ad Royalty Fee Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts. What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.	Varies
Term of Agreement Definition: The length of time your franchise agreement will last. What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.	10 years
Is franchise term renewable?	No

Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

In-House Financing	Coldwell Banker Real Estate offers in-house financing to cover the following: startup costs

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

Classroom Training	15 hours
Ongoing Support	Newsletter Meetings & Conventions Toll-Free Line Grand Opening Online Support Field Operations Proprietary Software Franchisee Intranet Platform
Marketing Support	Ad Templates National Media Social Media SEO Website Development Email Marketing

Operations

Additional details about running this franchise.

Is absentee ownership allowed?	No
Can this franchise be run from home/mobile unit? Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.	No
Can this franchise be run part time? Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.	No
Are exclusive territories available? Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened. What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.	No