What ongoing obligations does a Crowne Plaza franchisee have regarding the Keycard System software?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
epending on the vendor. Upon circuit disconnection, all vendor equipment must be returned within 30 days or the Hotel will be subject to fees covering the cost of hardware (Managed Router, NIDS, etc.).
Keycard System: All Crowne Plaza branded hotels must utilize an approved Keycard System that meets brand requirements. The estimated initial cost for the Keycard System solution purchase and installation will range from $11,000 to $16,500 for a hotel with up to 100 rooms; $11,000 to $22,000 for a hotel with up to 200 rooms; $11,000 to $27,500 for a hotel with more than rooms. This cost includes the server, key encoders, installation, and support. It does not include the cost of the locks for the doors themselves. You must obtain ongoing maintenance and support for the required Keycard System software, including upgrades and new versions. You must also obtain ongoing equipment maintenance for the Keycard System hardware. The Keycard System provider will bill and collect the fee from you for the required Keycard System hardware / software support. The cos
Source: Item 7 — Estimated Initial Investment (FDD pages 51–59)
What This Means (2025 FDD)
According to Crowne Plaza's 2025 Franchise Disclosure Document, franchisees must secure ongoing maintenance and support for the required Keycard System software, encompassing upgrades and new versions. Additionally, franchisees are obligated to maintain the Keycard System hardware.
The Keycard System provider will directly bill and collect fees from the franchisee for the necessary hardware and software support. These costs will fluctuate based on the hotel's specific technology requirements, including the number of key encoders and servers.
It is important to note that the Keycard System must interface seamlessly with the Property Management System (PMS). This integration is crucial for the efficient operation of the hotel and to maintain brand standards set by Crowne Plaza. Prospective franchisees should carefully consider these ongoing costs and ensure their budget accounts for these technology-related expenses.