When are the monthly charges due and payable for a Best Western membership?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
The Monthly Fee is a percentage of Property Room Revenue (PRR), as set forth in the Best Western Property owner's Membership Agreement. Monthly Fees based are billed one (1) month in arrears, payable by the 15th of each month.
Effective December 1, 2024, the advertising assessment is $16.39 per room per month. The Board of Directors has the authority to increase the advertising assessment once each fiscal year, with no such annual increase exceeding the greater of (1) two percent (2%) of the prior year's assessment, or (2) the rate of inflation for the previous year as measured by the United States Bureau of Labor Statistics Consumer Price Index (all items for all urban areas).
Sales and Marketing Assessment
The sales and marketing assessment is sixth-tenths of one percent (0.6%) of PRR. This assessment is billed one month in arrears.
Technology Assessment
The technology assessment is five-tenths of one percent (0.5%) of PRR, billed one month in arrears.
Technology and Marketing Assessment
The technology and marketing assessment is one percent (1.0%) of PRR. This assessment is billed one month in arrears.
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, monthly fees are billed one month in arrears and are payable by the 15th of each month. This means that the fees you incur during a given month will be billed to you the following month, and you'll need to pay them by the 15th of that following month. This applies to the Monthly Fee, which is a percentage of Property Room Revenue (PRR), as well as other assessments.
Specifically, the advertising assessment, which is $16.39 per room per month as of December 1, 2024, is billed one month in arrears. Similarly, the sales and marketing assessment, calculated as six-tenths of one percent (0.6%) of PRR, and the technology assessment, calculated as five-tenths of one percent (0.5%) of PRR, are also billed one month in arrears. There is also a technology and marketing assessment that is one percent (1.0%) of PRR, and it is also billed one month in arrears.
As a Best Western member, you agree to allow Best Western to automatically debit your bank account each month for the amount you owe. The FDD states that you will receive electronic monthly statements. If you fail to pay on time, Best Western will charge interest on past due amounts at a rate of one and one-half percent (1.5%) per month from the due date until the payment is made. However, this interest charge does not excuse late payments or limit Best Western's other rights and remedies against you.