What is the definition of 'various training programs' in the context of an Atwell Suites franchise?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
ault of their applicable license or management agreement obligations as of the applicable date.
Note 2: Services Contribution: You must pay a Services Contribution as specified in this Item, in Item 11, and paragraph 3.B(4) of the License. Holiday will use these funds in its sole judgment for marketing, reservations and other related activities, which, in Holiday's business judgment as to the long-term interests of the Brand System, strengthen the brand such as awareness advertising, marketing, sales, guest services, reservations, standards, training programs, research, and the development of new or improved services, associated products and platforms, but may also include tactical marketing initiatives more focused on short term revenue enhancement and seasonal marketing programs. The Services Contribution cannot be used to cover the cost of maintenance, repair, modernization, renovation, or upgrading of the Hotel. The Services Contribution does not include costs that you incur in the acquisition, installation or maintenance of reservations services, equipment or training, or in your own marketing activities. Holiday and its affiliates are not responsible for any of these costs. Holiday may, on 30 days advance written notice, at any time during the term of your License, and from time to time, increase the Services Contribution by up to 1% of Gross Suites Revenue. If Holiday increases the Services Contribution in this way, then Holiday cannot make another discretionary increase again for 24 months after the start of a prior increase. Holiday may increase the Services Contribution by a maximum of 2% of Gross Suites Revenue over the term of your License.
Note 3: Loyalty Program: Your Hotel must participate in the loyalty program (the "Loyalty Program") for as long as SCH chooses to market a Loyalty Program. As of the date of this disclosure document, the Loyalty Program is marketed to consumers under the names "IHG® One Rewards", "InterContinental Ambassador", and "IHG® Business Rewards". You must pay the Initial Marketing and Loyalty Program Contributions to SCH for the Loyalty Program. The Initial Marketing Contribution is payable at the same time when your Hotel first enters the Brand System. SCH can change the Initial Marketing Contribution and the Loyalty Program Contribution. The Loyalty Program is an incentive program that rewards members for frequent qualifying stays at all Atwell Suites® Hotels (and, as described in Holiday's separate disclosure documents, for Holiday Inn, Holiday Inn Express, Holiday Inn Resort, Crowne Plaza, Hotel Indigo, voco® , Staybridge Suites, Candlewood Suites, EVEN® , avid® , Vignette CollectionTM, Garner and InterContinental Hotels & Resorts brand group hotels, as well as other hotel brands within the SCH hotel portfolio (including Kimpton® Hotels & Restaurants)).
The Loyalty Program includes alliances with airline and other partner loyalty programs.
Source: Item 6 — OTHER FEES (FDD pages 30–56)
What This Means (2025 FDD)
According to Atwell Suites' 2025 Franchise Disclosure Document, the term 'training programs' is referenced within the context of the Services Contribution that franchisees must pay. These funds are used by Holiday (the franchisor) for various activities that strengthen the brand. These activities include marketing, reservations, guest services, standards, training programs, and research. The funds are also used for the development of new or improved services, associated products, and platforms. However, the Services Contribution cannot be used for the costs of maintenance, repair, modernization, renovation, or upgrading of the hotel.
Furthermore, the Services Contribution does not cover the costs that franchisees incur in the acquisition, installation, or maintenance of reservations services, equipment, or training, or in their own marketing activities. Holiday and its affiliates are not responsible for these costs. Holiday has the right to increase the Services Contribution by up to 1% of Gross Suites Revenue with 30 days' advance written notice. However, Holiday cannot make another discretionary increase for 24 months after the start of a prior increase, and the maximum increase over the term of the license is 2% of Gross Suites Revenue.
In addition to the general 'training programs' mentioned above, Atwell Suites requires that the General Manager, Front Office Manager, Director of Sales, Executive Housekeeper and Hotel Experience Champion (or their equivalent roles) must each complete initial certification training via IHG University. All required core certification training is included in the annual subscription for IHG University. For in-person classes, the franchisee must pay for their trainees' travel expenses or any training expenses incurred from any optional or supplemental courses that their trainees attend. The franchisee may also be required to purchase subsequent training materials to fulfill the ongoing training of new employees.
Learning categorized as "core" is included within the subscription model and includes critical learning designed to effectively onboard team members, support the operational needs of a Hotel, and comply with brand standards to deliver a branded guest experience. Hotels should allocate annual predetermined amounts per full-time employee for optional value-add and specialist courses: Managers/Department Heads - $650; Assistant Managers/Supervisors - $450; Frontline colleagues - $250.