Is the $10,000 PIP Preparation Fee for a Caption By Hyatt franchise refundable?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
ms at the Hotel.
PIP Preparation Fee
If you are converting an existing structure to a Brand Hotel, you will pay us a nonrefundable fee of $10,000 for our preparation of the Property Improvement Plan (the "PIP"), which
will detail the improvements necessary to renovate the structure to a Brand Hotel, at the time you submit your franch
Source: Item 5 — Initial Fees (FDD pages 16–20)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, the $10,000 Property Improvement Plan (PIP) preparation fee is nonrefundable. This fee covers Caption By Hyatt's cost to prepare the PIP, which details the improvements needed to convert an existing structure to a Caption By Hyatt branded hotel. The fee is due when you submit your franchise application and application fee.
This nonrefundable fee means that even if the franchise agreement is not finalized or the conversion project is abandoned, the $10,000 will not be returned. This is a standard practice for fees associated with specific services rendered by the franchisor during the application and evaluation phase.
Prospective Caption By Hyatt franchisees should factor this nonrefundable fee into their initial investment calculations and be certain of their commitment to the conversion project before submitting their application. Understanding the scope of the PIP and the associated renovation costs will be crucial in making an informed decision.