How does Bw Premier Collection recognize international fees and owned hotel operations revenues?
Bw_Premier_Collection Franchise · 2025 FDDAnswer from 2025 FDD Document
ments of Revenues and Expenses.
Other revenues
Other revenues in the Consolidated Statements of Revenues and Expenses consist of: (i) international fees and other fees from hotelier meetings, training, quality assurance assessments and other services, and (ii) owned hotel operations revenues, and are recognized in the month the services are provided. International fees include fees and charges for reservations and other services billed to international organizations monthly and were $23.5 million and $23.0 million for the years ended November 30, 2024 and 2023, respectively. Owned hotel operations revenues were $9.7 million and $9.5 million for the y
Source: Item 23 — Receipts (FDD pages 54–203)
What This Means (2025 FDD)
According to Bw Premier Collection's 2025 Franchise Disclosure Document, the company recognizes revenues from international fees and owned hotel operations in the month the services are provided. International fees encompass charges for reservations and other services billed to international organizations on a monthly basis. These fees amounted to $23.5 million for the year ending November 30, 2024, and $23.0 million for the year ending November 30, 2023.
Owned hotel operations revenues, another component of 'other revenues,' were reported as $9.7 million for the year ending November 30, 2024, and $9.5 million for the year ending November 30, 2023. This revenue recognition method aligns with standard accounting practices, where revenue is typically recognized when it is earned and realized or realizable.
For a prospective Bw Premier Collection franchisee, this means that the franchisor accounts for these specific revenue streams consistently on a monthly basis as services are delivered. This provides transparency into how the franchisor generates revenue from its international operations and owned hotels, which could be relevant in assessing the overall financial health and stability of the Bw Premier Collection brand.