How does the Best Western Board vote on membership applications?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
the Applicant's services in the relevant market and the incremental impact on existing Members within the relevant market, and provide such other information as the Board may request it include. For this purpose, incremental impact means the occupancy and revenue losses (expressed as a percentage) projected to result from the operation of the Property covered by a Membership Application as a Best Western Property, less any occupancy and revenue losses projected to result to existing Members in the relevant market from operation of the Property covered by the Membership Application as a non-Best Western Property.
- (b) The Board may consider a Membership Application upon the satisfaction of all impact study requirements.
- (2) The Board shall not approve any Membership Application for Membership unless it has:
- (a) Reviewed and analyzed any requested impact study; and
- (b) Determined that granting the Membership Application for a Property will not materially impair the ability of existing Members to compete with Properties or other hospitality services operated by non-members in the relevant market.
- (3) No Director shall have the right to participate in the consideration of a Membership Application if such Director has, directly or indirectly, a personal interest in the approval or denial of such Membership Application.
- (D) The provisions of Article II, Section 2 shall apply to all Best Western Members regardless of sub-brand or product descriptors.
Section 3. Member Market Area Considerations
(A) A Membership Application for a Property located within the Member Market Area of a Qualified Hotel will not be accepted. An exception to this will apply only if the Voting Member responsible for each Affected Qualified Hotel advises the Board in writing that the Member has no objection to approval of the Membership Application.
(B) Definitions
- (1) "Qualified Hotel" means a Best Western Property, which meets all of the following criteria:
- (a) It is not currently and has not been 60 days past due on any of its Membership dues and fees or assessments twice within the last 12 months;
impact on the Member's Property. The Board will consult with the Governors or the appropriate Member Advisory Committees before adopting the policy.
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the Board of Directors reviews membership applications. The Board will consider an application after all impact study requirements are met. The Board must review any impact study and determine that granting the membership will not significantly impair existing members' ability to compete with other properties or hospitality services in the relevant market. If the application is within a member's impact radius, it requires a favorable vote of six (6) Directors.
Directors are not allowed to participate in the consideration of a membership application if they have a personal interest in the approval or denial of the application. If there is any ambiguity, conflict, or inadequate data in the application of the provisions, the Board has the right to resolve the conflict or ambiguity or to select appropriate data at its sole discretion.
For an @HOME by Best Western Membership Application to be approved by the Board, it must meet specific criteria: new construction or substantially similar design to the @HOME prototype, 100% extended stay rooms with kitchens in every room, and no complimentary or paid for breakfast. The Board may also approve applications subject to contingencies or conditions, with final approval granted once these are satisfied. Customary membership services may begin during the contingency period if the applicant agrees to comply with the conditions and pay the necessary fees, but this does not guarantee membership status.