Are Camp Margaritaville franchisees required to enter into agreements with credit card issuers?
Camp_Margaritaville Franchise · 2025 FDDAnswer from 2025 FDD Document
Section 4.14 Other Programs. Franchisor will from time to time during the Term of this Agreement negotiate on behalf of current and future Camp Margaritaville Resorts, agreements with specific providers of various programs, platforms and systems to benefit the Resort and the Camp Margaritaville System, including, but not limited to, a database acquisition and social dispersion tool, a group sales referral platform, and a credit card program. Franchisee shall participate in such programs on a basis consistent with other Camp Margaritaville Resorts and pay the then-current fee charged by each applicable vendor for such program. In addition, by its signature to this Agreement, Franchisee consents to its enrollment as a member of the American Hotel and Lodging Association (AHLA), at Franchisee's expense. Membership in the AHLA is optional, and Franchisee may opt out if Franchisee does not wish to participate.
Source: Item 23 — RECEIPTS (FDD pages 72–406)
What This Means (2025 FDD)
According to Camp Margaritaville's 2025 Franchise Disclosure Document, Camp Margaritaville will negotiate agreements with specific providers of various programs, platforms, and systems to benefit the resort and the Camp Margaritaville system, including a credit card program. Franchisees are required to participate in such programs on a basis consistent with other Camp Margaritaville Resorts and pay the then-current fee charged by each applicable vendor for such program.
This means that Camp Margaritaville franchisees must use the credit card processing services that Camp Margaritaville negotiates on behalf of the franchise system. This allows Camp Margaritaville to maintain brand consistency and potentially negotiate better rates due to the collective bargaining power of the franchise system.
While franchisees must participate in the credit card program, the FDD does not specify the exact terms or conditions of these agreements. Prospective franchisees should inquire about the specific providers, fees, and terms associated with the credit card program to fully understand the financial implications.