How is the Affiliation Fee determined for a Best Western franchise?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
the Board but the prospective Member does not accept the conditions of approval, the $4,000 Impact Study Fee will not be refunded.
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- All prospective Members must complete an Application for Membership for a hotel and pay a $4,000 Evaluation Fee and an Affiliation Fee, the amount of which will depend on the number of rooms at the Property. Please note, if you are a new Member purchasing your Membership from an existing Member, you will be charged a transfer fee in lieu of an Entrance Fee, which will equal 50% of our then current Entrance Fee. If a prospective Member's Application for Membership is either (i) presented to the Board by the Application Deadline and the Application for Membership is not approved or (ii) not presented to the Board by the Application Deadline due to the actions of the prospective Member, the entire Affiliation Fee will be refunded. The Affiliation Fee otherwise becomes non-refundable at the time of signing the Members
Source: Item 7 — Estimated Initial Investment (FDD pages 37–61)
What This Means (2025 FDD)
According to the 2025 Best Western Franchise Disclosure Document, the Affiliation Fee is determined by the number of rooms at the property. The standard Affiliation Fee is $45,000 for properties with 50 rooms or less. For properties with more than 50 rooms, an additional $200 is added for each additional room, up to a maximum of 1,000 rooms. This fee is paid when submitting the Application for Membership and is required before the Board's consideration of the application.
For example, a Best Western property with 75 rooms would pay the base fee of $45,000 plus (25 additional rooms x $200/room) = $5,000, for a total Affiliation Fee of $50,000. A property with 200 rooms would pay the base fee of $45,000 plus (150 additional rooms x $200/room) = $30,000, for a total Affiliation Fee of $75,000.
It is important to note that this Affiliation Fee is generally non-refundable after signing the Membership Agreement. However, the FDD states that the entire Affiliation Fee will be refunded if the Application for Membership is not approved, or if it is not presented to the Board by the Application Deadline due to the actions of Best Western. Prospective members should carefully consider the number of rooms planned for their property, as this directly impacts the Affiliation Fee. New members purchasing their membership from an existing member will be charged a transfer fee in lieu of the Affiliation Fee, which will equal 50% of the then current Entrance Fee.