In 2024, how many Best Western outlets ceased operations for reasons other than termination or non-renewal?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
| State | Year | Number of Transfers | |---|---|---| | | 2023 | 0 | | | 2024 | 2 | | West Virginia | 2022 | 0 | | | 2023 | 0 | | | 2024 | 0 | | Wisconsin | 2022 | 8 | | | 2023 | 3 | | | 2024 | 4 | | Wyoming | 2022 | 0 | | | 2023 | 0 | | | 2024 | 1 | | Totals | 2022 | 131 | | | 2023 | 80 | | | 2024 | 93 | Table 3 Status of Licensed Outlets For years 2022 to 2024
| Col. 1 State | Col. 2 Year | Col. 3 Outlets at Start of Year | Col. 4 Outlets Opened | Col. 5 Terminations | Col. 6 Non- Renewals | Col.
Source: Item 20 — Outlets and Franchisee Information (FDD pages 93–107)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, a total of 9 Best Western outlets ceased operations for reasons other than terminations or non-renewals in 2024. This information is crucial for potential franchisees as it offers insight into the stability and potential risks associated with the franchise system.
The data is presented on a state-by-state basis, allowing prospective franchisees to evaluate specific regions of interest. For example, in Tennessee, 1 outlet ceased operations for other reasons in 2024, while in Texas, 2 outlets ceased operations for other reasons. In contrast, many states such as Alabama, Alaska, and Arizona reported zero outlets ceasing operations for other reasons during the same year.
Understanding the reasons behind these closures—which are not terminations or non-renewals—is vital. These could range from voluntary closures due to underperformance, transfers, or other unforeseen circumstances. A deeper investigation into these 'other reasons' would provide a clearer picture of the challenges and opportunities within the Best Western franchise system.
For a prospective franchisee, this data underscores the importance of due diligence. It is advisable to discuss with the franchisor the specific reasons for these 'other' closures and to understand what support and strategies Best Western has in place to prevent such occurrences. This information, combined with a thorough market analysis and financial planning, can help in making a well-informed investment decision.