Is the Crowne Plaza application fee refundable, as described in Item 3 of Attachment A?

According to the 2025 Crowne Plaza Franchise Disclosure Document, the initial application fee is nonrefundable. Specifically, Item 23 clarifies that the application fee, detailed in Item 3 of Attachment A, is not refundable to the licensee. This means that a prospective Crowne Plaza franchisee should be prepared to lose this fee, regardless of whether their application is ultimately approved or if they decide not to proceed with the franchise. This is a common practice in the franchise industry, as the application fee typically covers the franchisor's costs associated with reviewing the application and conducting due diligence.

This nonrefundable application fee represents a financial risk for potential Crowne Plaza franchisees. Before submitting an application and paying the fee, candidates should carefully evaluate their interest in the franchise and their qualifications to meet Crowne Plaza's standards. Understanding this policy upfront is crucial for managing expectations and making informed financial decisions during the franchise acquisition process.

While the application fee is nonrefundable, other fees may be applicable during the franchise process, such as a Rooms Addition Fee, Royalty Fees, and IHG System Fund Contributions. These fees are separate from the initial application fee and cover different aspects of the franchise operation, such as adding guest rooms, ongoing royalties, and contributions to the IHG system fund for marketing and services.