What are owned and leased revenues derived from for Caption By Hyatt?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
- Owned and leased revenues—Owned and leased revenues are derived from room rentals and services provided at our owned and leased hotels.
We present revenues net of sales, occupancy, and other taxes.
Taxes collected on behalf of, and remitted to, governmental taxing authorities are excluded from the transaction price of the underlying products and services.
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, owned and leased revenues are generated from room rentals and services provided at hotels that Caption By Hyatt owns or leases. These revenues are presented net of sales, occupancy, and other taxes. The taxes collected on behalf of governmental taxing authorities are excluded from the transaction price of the underlying products and services.
For a prospective Caption By Hyatt franchisee, this means that the financial statements will reflect only the net revenue received by the company from its owned and leased properties, after deducting applicable taxes. This provides a clearer picture of the actual income Caption By Hyatt retains from these operations.
It is important to note that this revenue stream is distinct from franchise fees, which are calculated differently and derived from franchised locations. Understanding the sources of revenue for both owned/leased and franchised properties can help a potential franchisee better assess the overall financial health and business model of Caption By Hyatt.