Does the Caption By Hyatt Franchise Agreement address Pre-Opening Sales Office?

According to Caption By Hyatt's 2025 Franchise Disclosure Document, the Franchise Agreement does address the Pre-Opening Sales Office. Specifically, the Franchise Agreement states that promptly after the Technology System is installed at the Hotel, at Hyatt's option, the franchisee must open and begin operating a Pre-Opening Sales Office at the Site, staffed by the Hotel's director of sales. The FDD also defines "Pre-Opening Sales Office" as a temporary or permanent sales office at the Site to solicit and accept reservations before the Opening Date for stays after the Opening Date.

This means that as a Caption By Hyatt franchisee, you may be required to establish a sales office before the hotel officially opens. This office would be responsible for generating reservations and building awareness for the upcoming opening. The decision to open this office lies with Hyatt, and if they require it, you must staff it with the hotel's director of sales.

This requirement ensures that efforts to generate revenue begin well in advance of the hotel's opening. By having a dedicated sales office, the Caption By Hyatt franchisee can proactively market the hotel and secure bookings, potentially leading to a stronger initial performance. Franchisees should factor in the costs associated with setting up and staffing this pre-opening sales office when evaluating the overall investment.