When is the Best Western Rewards® (“BWR®”) Fee billed and due?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
| Marketing and Technology Fees | 2.10% of PRR. See Note 1. | Billed one month in arrears, due and payable upon statement receipt. | See Note 1 for details on what components comprise the Marketing and Technology Fees. |
|---|---|---|---|
| Direct Connect Commissions | Varies by direct connect. | Due and payable upon statement receipt. | Payable as a pass-through commission charge for direct connect delivered reservations through negotiated brand pricing for Expedia, Booking.com, etc. |
| Global Distribution | $7.90 per booking. | Due and payable | Payable for reservations booked |
| Systems (“GDS”) | monthly upon | through GDS and GDS internet | |
| Fee | statement receipt. | travel sites. | |
| Third-Party Internet Booking Fee | $4.60 per booking. | Due and payable monthly upon statement receipt. | Payable for reservations booked through third-party internet booking sites. |
| Third-Party Partner Booking Fee | $2.00 per booking. | Due and payable monthly upon statement receipt. | Payable for reservations booked through our third-party partner. |
| Performance Based Marketing (“PBM”) | 10% of PRR for each reservation received from a digital opportunity. See Note 1. | Due and payable monthly upon statement receipt. | Commission charge for reservations which result from digital opportunity. Subject to amendment by majority vote of System Hotels. |
| Member Web Booking Commissions | 10% of PRR for reservations from North American (N.A.) hotels. 5% of PRR for reservations from international hotels. | Billed one month in arrears. Due and payable monthly upon statement receipt. | Commission charge for reservations the Property receives from N.A. Best Western hotels and/or international hotels. |
| 10% of PRR for reservations to N.A. hotels. 5% of PRR for reservations to international hotels. | Credited one month in arrears. | Commission credit for reservations the Property sends to N.A. Best Western hotels and/or international hotels. | |
| Travel Agent Commissions | Varies by travel agent and agreement. | Case by case basis. Due and payable monthly upon statement receipt. | Payable as a pass-through commission charge for travel agents that are passed on to System Hotels without mark-up. |
| Best Western Rewards® (“BWR®”) Fee | 5.5% of PRR (2.75% of PRR for Executive Residency by Best Western and @Home by Best Western), with a BWR cost per point issued of $0.0055. | Billed one month in arrears. Due and payable monthly upon statement receipt. | Fee for BWR points or airline program miles issued by the Property to BWR members based on 10 points issued for each revenue dollar (5 points issued for each revenue dollar for Executive |
Source: Item 6 — Other Fees (FDD pages 24–37)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the Best Western Rewards® (“BWR®”) Fee is billed one month in arrears and is due and payable monthly upon statement receipt. This fee is calculated as 5.5% of Property Room Revenue (PRR), but it is 2.75% of PRR for Executive Residency by Best Western and @Home by Best Western.
The BWR fee covers the cost per point issued, which is $0.0055 per point. This fee is for BWR points or airline program miles issued by the Property to BWR members. The calculation is based on 10 points issued for each revenue dollar, or 5 points for each revenue dollar for Executive Residency and @Home properties.
For a prospective franchisee, this means that the BWR fee will be assessed based on the previous month's revenue and must be paid upon receiving the monthly statement. It's important to understand how PRR is defined, as it includes revenue from guest rooms, loyalty program redemptions, and breakfast when included in the room rate, but excludes taxes. Franchisees should also note the different percentage applied to the BWR fee depending on the Best Western brand (Executive Residency and @Home versus the standard Best Western).
Understanding the billing and payment schedule for the BWR fee is crucial for managing cash flow and budgeting. Franchisees should ensure they accurately track their PRR to anticipate the monthly BWR fee and avoid late payment penalties.