What are the financial and operational covenants that Best Western is required to maintain regarding the Denver 3560 construction loan?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
The Company is required to maintain certain financial and operational covenants. At November 30, 2024 and 2023, the Company was in compliance with all covenants.
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the company is required to maintain certain financial and operational covenants related to the Denver 3560 construction loan. As of November 30, 2024, and November 30, 2023, Best Western was in compliance with all of these covenants.
While the FDD states that Best Western must adhere to these covenants, it does not specify what these financial and operational covenants are.
A prospective franchisee should ask Best Western's franchisor for more details about the specific financial and operational covenants associated with the Denver 3560 construction loan to fully understand the obligations and ensure they can meet these requirements.