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eXp’s Revenue Share Program Offers a Bigger Upside Than Profit Share

May 2, 2024 @eXp Life

There are many reasons why agents join eXp Realty, including a generous commission plan and potential for stock awards, but one of the popular reasons is its revenue-share program, which is very different from a profit-sharing program.

Simply, profit-sharing in a brokerage happens when the company shares a portion of its profits generated by the production of agents they sponsored back to its agents.  This concept seems generous until you realize profits are only shared after all expenses have been subtracted from revenue. That includes costs such as rent, insurance, utilities, staff salaries, and other costly overhead charges. In a profit-share model, sponsored agents can be productive, but if the office or franchise is not profitable, there is minimal or zero profit-share.

eXp’s revenue-share program is different, because the company shares 50% of its revenue (Company Dollar) received from each transaction, before expenses are removed.  This means that agents can financially benefit from “sponsoring” new agents into eXp every time that agent closes a sale that contributes revenue to eXp.

For example, when a new agent joins eXp, they name the eXp agent who “sponsored” or “referred” them to join eXp. Once the new agent begins closing on transactions, the sponsor will receive a percentage of the revenue from the sales activity of their sponsored agent. It is based on gross commission income (GCI), and is dynamically calculated and paid monthly. One important note is that eXp pays that share — not the new agent; it comes from the company split of the commission.

eXp’s revenue-share program tracks and pays on transactions up to seven tiers, so participants can receive a portion of the revenue from transactions completed by agents they directly sponsor as well as the transactions of agents sponsored by those agents, and so on for seven tiers.  

Our agents drive the growth of eXp Realty, and share in the revenue generated by their efforts and influence.

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