What is the purpose of the monthly Technology Services Fee for a Crowne Plaza franchise?
Crowne_Plaza Franchise · 2025 FDDAnswer from 2025 FDD Document
- (5) Technology Services Fee. A monthly Technology Services Fee as set forth in Item 6 of Attachment "A" and any other fees as set out in the Master Technology Services Schedule in Attachment "D" hereto. The Technology Services Fee will be used by IHG to cover costs and investments that, in IHG's sole discretion, support the development and maintenance of IHG's technology systems. The Technology Services Fee may be increased in IHG's reasonable discretion, but in no case shall any such increase in any calendar year exceed 10% of the fee in effect at the beginning of that year. The Technology Services Fee does not include the cost, installation, maintenance or repair of any technology equipment at the Hotel.
Source: Item 23 — Receipts (FDD pages 100–424)
What This Means (2025 FDD)
According to the 2025 Crowne Plaza Franchise Disclosure Document, franchisees must pay a monthly Technology Services Fee. This fee is detailed in Item 6 of Attachment "A" and any other fees as set out in the Master Technology Services Schedule in Attachment "D".
The primary purpose of the Technology Services Fee is to enable IHG to cover the costs and investments associated with the development and maintenance of its technology systems. IHG has sole discretion over how the Technology Services Fee is used.
While the Technology Services Fee covers the development and maintenance of IHG's technology systems, it's important to note that it does not include the cost of technology equipment at the hotel, nor does it cover the installation, maintenance, or repair of that equipment. Furthermore, Crowne Plaza can increase the Technology Services Fee at their discretion, but increases are capped at 10% of the fee in effect at the beginning of that year.