Are the fees paid to Wyndham for a Baymont Inn Suites franchise refundable?
Baymont_Inn_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 6: OTHER FEES]
- 1 Unless otherwise indicated, all fees are (i) imposed and collected by us, (ii) payable to us, (iii) nonrefundable, and (iv) uniformly imposed. We may reserve the right to increase, modify, or change certain fees in the future as provided for in the Franchise Agreement. We require you to pay all Recurring Fees and other fees and charges online via our self-service, electronic invoice presentment and payment tool, accessible through a centralized online platform, or through such other technologies or other means as we may establish. In the online environment, payment can be made by electronic check (via ACH). If you submit payment for any fee using a paper check, you will incur a $160 processing fee per each occurrence. Standard "Recurring Fees" include the Royalty and System Assessment Fee. We may negotiate increases or decreases for a particular transaction at the time the Franchise Agreement is signed for any fee listed above when business circumstances warrant. You begin paying Recurring Fees when you open the Facility. If you purchase an existing Facility, you begin paying Recurring Fees when you acquire or take possession of the Facility, whichever comes first.
Source: Item 6 — OTHER FEES (FDD pages 30–45)
What This Means (2025 FDD)
According to Baymont Inn Suites's 2025 Franchise Disclosure Document, most fees paid to Wyndham are nonrefundable. Specifically, Item 6 states that unless otherwise indicated, all fees are (i) imposed and collected by Wyndham, (ii) payable to Wyndham, (iii) nonrefundable, and (iv) uniformly imposed. This means that franchisees should generally expect that any fees paid to Baymont Inn Suites are not eligible for a refund.
This policy covers a range of fees, including standard recurring fees like the Royalty and System Assessment Fee. While the document mentions the possibility of negotiating increases or decreases for particular transactions when the Franchise Agreement is signed, it explicitly states that fees are generally nonrefundable. This is a standard practice in franchising, as these fees contribute to the ongoing support and operation of the franchise system.
Prospective Baymont Inn Suites franchisees should carefully consider this nonrefundable policy when budgeting and planning their investment. It is important to understand the specific fees involved and their due dates to avoid any surprises. Franchisees should also be aware of the conditions under which they may be required to pay additional fees, such as the No-Show Fee for missed training sessions or fees related to the Wyndham Rewards program. Understanding these financial obligations is crucial for the successful operation of a Baymont Inn Suites franchise.