For a Best Western franchise, if the property is owned or leased by an entity, what attachment must be completed?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
If the owning/leasing entity has not yet been formed, please list "TBD" as the name of the entity and provide all known information, including principals and percent interest. The breakdown of entity shareholders must be completed, as well as all information throughout the Application concerning all shareholders and principals.
In addition, Best Western requires entity shareholder breakdown to at least a third level, when applicable. Please see the following example:
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, if the owning or leasing entity for a Best Western property has not yet been formed, the applicant should list "TBD" as the name of the entity. They must also provide all known information, including the principals and their percentage of interest in the entity.
Best Western requires a breakdown of the entity shareholders to at least a third level, when applicable. This means that if the entity owning or leasing the property is itself owned by another entity, the ownership structure of that second entity must also be disclosed, and so on, up to three levels. The applicant must complete all information throughout the application concerning all shareholders and principals involved in these entities.
This requirement ensures that Best Western has a clear understanding of the ownership and control structure of each of its affiliated properties. This transparency helps Best Western manage risk and maintain the quality and consistency of its brand. Prospective franchisees should be prepared to provide detailed information about the ownership structure of any entity that will own or lease the Best Western property.