factual

When is the Technology Services Fee payment due for a Crowne Plaza franchise?

Crowne_Plaza Franchise · 2025 FDD

Answer from 2025 FDD Document

TYPE OF FEE
Royalty 5% of Gross Rooms Revenue (“GRR”) Monthly, on the 15th of the following month (Payable to Holiday) Note 1
Services Contribution 3% of GRR Same as Royalty Note 2
Initial Marketing Contribution for the Loyalty Program $10.00 per approved guest room. At same time as 1st Royalty Payment (one-time charge) (Payable to SCH) Note 3
Loyalty Program Contribution 4.55% of Qualifying Full Folio Revenue from Loyalty Program members 1.365% of GRR on Qualifying Room and Meeting Revenue from Loyalty Program members Same date as Royalty (Payable to SCH) Note 3
Capital Reserve Up to 5% of Gross Revenue (see Paragraph 13.O of License). Monthly if required by Holiday Note 4
Technology Services Fee $17.40 per room, per month. Monthly (Payable to SCH) Note 5

Source: Item 6 — OTHER FEES (FDD pages 31–51)

What This Means (2025 FDD)

According to Crowne Plaza's 2025 Franchise Disclosure Document, the Technology Services Fee is due monthly. The amount is $17.40 per room, per month, and it is payable to SCH (Six Continents Hotels, Inc.).

This fee covers the costs associated with maintaining and updating the technology infrastructure that supports the Crowne Plaza brand. This includes systems for reservations, property management, and guest services. By paying this fee monthly, franchisees contribute to a centralized fund that ensures all hotels in the system have access to the latest technology and support.

For a prospective franchisee, this means budgeting $17.40 per room each month for technology services. For example, a 150-room hotel would pay $2,610 monthly. It is important to note that this fee is separate from other technology-related costs, such as the Property Management System (PMS) software and hardware maintenance, which are billed separately by the PMS provider or approved vendors.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.