What information must be included in the monthly statement submitted to Baymont Inn Suites?
Baymont_Inn_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
3.6 Financial Books & Records; Audits.
- 3.6.1 The Facility's transactions must be timely and accurately recorded in accounting books and records prepared on an accrual basis compliant with generally accepted accounting principles of the United States ("GAAP") and consistent with the most recent edition of the Uniform System of Accounts for the Lodging Industry published by the American Hotel & Lodging Association, as modified by this Agreement and System Standards. You acknowledge that your accurate and timely accounting for and reporting of Gross Room Revenues is a material obligation you accept under this Agreement.
- 3.6.2 Upon our request, you will send to us copies of financial statements, tax returns, and other records relating to the Facility for the applicable accounting period that we require under this Agreement and System Standards. We may notify you of a date on which we propose to audit the Facility's books and records at the Facility but such notice is not required. You will be deemed to have confirmed our proposed date unless you follow the instructions with the audit notice for
changing the date. You need to inform us where the books and records will be produced. You need to produce for our auditors at the confirmed time and place for the audit the books, records, tax returns and financial statements for the Facility. We may require access to the property including guest rooms. We also may perform an audit of the Facility's books and records remotely or electronically without advance notice or your knowledge. Your staff must cooperate with and assist our auditors to perform any audit we conduct.
Source: Item 23 — RECEIPTS (FDD pages 97–443)
What This Means (2025 FDD)
According to the 2025 Baymont Inn Suites Franchise Disclosure Document, franchisees must accurately record the Facility's transactions in accounting books and records. These records must be prepared on an accrual basis, following Generally Accepted Accounting Principles (GAAP) of the United States. They should also align with the most recent edition of the Uniform System of Accounts for the Lodging Industry, as published by the American Hotel & Lodging Association, and be consistent with the Franchise Agreement and System Standards.
Baymont Inn Suites emphasizes the importance of accurate and timely accounting and reporting of Gross Room Revenues as a material obligation under the Franchise Agreement. Upon request, franchisees must provide copies of financial statements, tax returns, and other relevant records for the applicable accounting period, as required by the agreement and System Standards.
Baymont Inn Suites retains the right to audit the Facility's books and records, either with or without prior notice. Franchisees are expected to cooperate with auditors and provide access to the necessary books, records, tax returns, and financial statements. This audit can be conducted remotely or electronically, and may include access to the property, including guest rooms. Therefore, it is imperative that franchisees maintain meticulous and compliant financial records to meet these requirements.