How is the fee for services related to the System Services Charges for a Caption By Hyatt franchise?

According to the 2025 Caption By Hyatt Franchise Disclosure Document, the fee for certain services is a portion of and included within the System Services Charges. This means that franchisees do not pay a separate, additional fee for these specific services; instead, the cost is bundled into the System Services Charges that they already pay. The exact services covered by this arrangement are detailed in Schedule 3 of the agreement.

The fee for these services is not fixed and can fluctuate monthly. This fluctuation is subject to Section 6b of the Franchise Agreement, suggesting that the amount may vary based on factors outlined in that section. Franchisees should carefully review Section 6b to understand the potential drivers of these monthly fluctuations and how they might impact their overall costs.

This arrangement has implications for budgeting and financial planning. Since the service fee is integrated into the System Services Charges, franchisees need to understand how these charges are calculated and what factors can cause them to change. This bundled approach simplifies payment processing but requires franchisees to stay informed about the variables affecting the System Services Charges to accurately forecast their expenses.