What is the non-refundable extension fee for a Baymont Inn Suites franchise, and when is it payable?
Baymont_Inn_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
sion is granted. All construction must comply with System Standards, any Approved Plans, and this Agreement. Your general contractor or you must carry the insurance required under this Agreement during construction.
1.2 Pre-Opening. We may, in our sole discretion, terminate this Agreement by written notice to you (subject to applicable law) if you do not meet the deadlines above. If we choose to grant an extension of any deadline, including the Facility's Opening Date, we may require you to pay us a non-refundable extension fee of $5,000. This fee, if assessed, will be payable within ten (10) days of the Opening Date. You also must pay us the Reinspection Fee described in Section 3.7 if the Facility fails the inspection you designate as the completion inspection, does not meet our Standards or conform to the Approved Plans, and our representatives must return to the Facility to inspect it. In limited circumstances, you may identify the Facility as a Chain Facility prior to the Opening Date, or commence operation of the Facility under a Mark and using the System, only after first obtaining our prior written approval, but in no event before the Facility passes our completion inspection, at which we determine that the Facility as built meets our System Standards, and we receive from you and your architect or contractor the Certification described in subsection 1.3 below. If you identify the Facility as a Chain Facility or operate the Facility under a Mark before the Opening Date without our express written consent, then in addition to our
remedies under Section 11, you
Source: Item 22 — CONTRACTS (FDD pages 96–97)
What This Means (2025 FDD)
According to Baymont Inn Suites's 2025 Franchise Disclosure Document, if the franchisor grants an extension to any deadline, including the facility's opening date, they may require a non-refundable extension fee of $5,000.
This fee, if assessed, is payable within ten days of the originally scheduled opening date. This means that if a franchisee is unable to meet the initial opening timeline, they may incur this additional cost to secure an extension from Baymont Inn Suites.
It's important to note that the franchisor has sole discretion over whether to grant an extension and assess this fee. The FDD also mentions a reinspection fee if the facility fails inspection, highlighting the importance of meeting standards and approved plans to avoid additional costs.