What was the depreciation expense related to property and equipment for Baymont Inn Suites in 2022?

According to Baymont Inn Suites's 2025 Franchise Disclosure Document, the company recorded depreciation expense of $46 million in 2022 related to property and equipment. This figure represents the accounting expense recognized by Baymont Inn Suites for the reduction in the value of its property and equipment assets due to wear and tear, obsolescence, or other factors. Depreciation is a non-cash expense that reflects the allocation of the cost of an asset over its useful life.

For a prospective Baymont Inn Suites franchisee, understanding the depreciation expense of the parent company can provide insights into the capital intensity and asset management practices of the organization. While franchisees typically own and manage their own property and equipment, the franchisor's depreciation expense can reflect investments in corporate-owned assets that support the franchise system. This can include technology infrastructure, training facilities, or other resources that benefit franchisees.

It is important to note that the depreciation expense reported in the FDD relates to the franchisor's financial statements and not the individual franchise units. Franchisees will incur their own depreciation expenses based on their investments in property and equipment for their specific locations. However, understanding the franchisor's financial management practices can be a valuable part of the due diligence process for potential franchisees.