When is the Affiliation Fee portion of the Best Western Entrance Fee due?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be made |
|---|---|---|---|---|
| Impact Study Fee (1) | $0 - $4,000 | Lump Sum | Before Commission of Impact Study | Us |
| Entrance Fee (2) | $59,000 (comprised of Evaluation Fee of $4,000 plus Affiliation Fee of $45,000 (50 rooms or less) plus $200 for each additional | Lump Sum, if applicable | Evaluation Fee portion upon Application of Membership and Affiliation Fee portion before Board’s consideration of | Us |
Source: Item 7 — Estimated Initial Investment (FDD pages 37–61)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the Affiliation Fee portion of the Entrance Fee is due before the Board's consideration of the Application for Membership. The Entrance Fee is comprised of an Evaluation Fee of $4,000 plus the Affiliation Fee. The Affiliation Fee itself is $45,000 for properties with 50 rooms or less, with an additional $200 for each room up to a maximum of 1,000 rooms.
This means that a prospective Best Western franchisee must pay the Affiliation Fee before the Best Western Board reviews their application. This fee, along with the Evaluation Fee, contributes to the overall Entrance Fee required to join the Best Western franchise system. The specific amount of the Affiliation Fee will depend on the number of rooms the property has, potentially increasing the initial investment for larger hotels.
It's important to note that if a new Best Western Member is purchasing their membership from an existing member, they will be charged a transfer fee instead of the Entrance Fee. This transfer fee will equal 50% of the then-current Entrance Fee. Additionally, the document states that the Evaluation Fee portion is due upon the Application of Membership. Understanding these payment terms is crucial for budgeting and financial planning when considering a Best Western franchise.