Under what condition are revenue management fees due for a Caption By Hyatt franchise?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
| . Type of expenditure | Amount | Method of Payment | When due | To whom payment is to be made |
|---|---|---|---|---|
| Revenue management fees (6) | $0 to $17,500 | As agreed | Monthly, if you participate in the revenue management program | Us |
Revenue management fees and field marketing program fees.
These items include revenue management program fees and field marketing program fees, respectively, during the preopening period and the first 3 months of operation.
We describe these fees in Item 5.
Source: Item 7 — Estimated Initial Investment (FDD pages 36–40)
What This Means (2025 FDD)
According to the 2025 Caption By Hyatt Franchise Disclosure Document, revenue management fees, which can range from $0 to $17,500, are due monthly if a franchisee participates in the revenue management program. These fees are paid to Caption By Hyatt.
Additionally, the FDD notes that revenue management program fees are also applicable during the preopening period and the first 3 months of operation. These fees are described further in Item 5 of the FDD. It is important to note that participation in the revenue management program is not mandatory, but if a franchisee chooses to participate, they will incur these monthly fees.
Prospective franchisees should carefully consider whether to participate in the revenue management program, weighing the potential benefits against the costs. It would be prudent to discuss the specifics of the program with existing Caption By Hyatt franchisees to understand the value and impact of the program on their hotel's performance.