What is the maximum amount of the Opening Date Extension Fee for a Crowne Plaza?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
ny of these training programs or any of the training programs described in Item 11, Holiday estimates that such subsequent training materials will cost no more than a total of $5,000 per hotel for all trainees combined.
Note 7: These fees will only apply if it is necessary to reschedule your hotel's opening date. In the event that you nee
Source: Item 7 — Estimated Initial Investment (FDD pages 51–59)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, if a franchisee needs to reschedule their hotel's opening date, they may be charged an Opening Date Extension Fee. This fee can be up to $5,000 per extension, in addition to any expenses Holiday (the franchisor) incurs while processing the extension request.
This means that if unforeseen circumstances delay the opening of a Crowne Plaza hotel, the franchisee should be prepared to pay this fee. It's important to note that the extension request must be approved in writing by Holiday, and the franchisee is responsible for covering Holiday's expenses related to processing the request. This could include administrative costs, legal fees, or other charges associated with evaluating and approving the extension.
In practical terms, a Crowne Plaza franchisee should factor this potential fee into their budget and timeline for opening the hotel. They should also maintain open communication with Holiday regarding any potential delays to minimize the risk of incurring the fee and to ensure that any extension requests are handled efficiently. Understanding the conditions under which this fee is applied is crucial for managing costs and expectations during the initial phase of the franchise operation.