Can the fee for additional Camp Margaritaville Quality Assurance Audits be changed by the Franchisor?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
) The foregoing items (1)-(4) shall be referred to as the "Quality Assurance Audit".
- (i) Standards for Passage. The score required to pass any Quality Assurance Audit shall be set from time to time by Franchisor and communicated in the Manual.
- (ii) Timing. Franchisor may conduct such audits as frequently as Franchisor determines in its sole discretion.
- (iii) Costs. Franchisee shall be responsible for the costs of lodging, food and beverage, and other related living expenses for inspectors during Quality Assurance Audits. Except such costs, Quality Assurance Audits conducted in the ordinary course of business shall be free of char
Source: Item 23 — RECEIPTS (FDD pages 72–406)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, the fee for additional Quality Assurance Audits can be changed or increased by Camp Margaritaville at its sole discretion during the term of the franchise agreement. The franchisee will receive written notification of any such increase.
The standard Quality Assurance Audits are free of charge, with the franchisee only responsible for covering the costs of lodging, food, beverage, and related living expenses for the inspectors during the audit. However, if a Camp Margaritaville Resort fails a Quality Assurance Audit, the franchisee will be charged $5,000 for each subsequent audit until the resort achieves compliance.
This policy means that prospective Camp Margaritaville franchisees need to be aware that the costs associated with failing a Quality Assurance Audit could increase if the franchisor decides to raise the fee. Franchisees should prioritize maintaining high standards to avoid these additional costs and stay informed of any potential fee changes communicated by Camp Margaritaville.