Are the costs for pre-opening training and services provided by Delta Hotels By Marriott refundable?
Delta_Hotels_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
tially in the form attached as Exhibit P.
B. Pre-Opening Training and Services
The costs for pre-opening training and services provided by us (not including costs discussed elsewhere in this Item 5 or costs incurred when purchasing an existing Delta hotel) generally range from $75,250 to $152,250, are subject to change, and are non-refundable. This amount includes: training on the use of the property management system, management and executive training, pre-opening on-site task force training, virtual training the opening authorization process, associate orientation materials,
pre-opening operations and sales and marketing support, and pre-opening revenue management/reservation system rate loading and consultation, as well as an estimate of the travel, meal, and lodging expenses for our trainers, which you must pay. We used the average travel, meal, and lodging expenses for our trainers last year in the range above. The range above excludes, and you must pay for the cost of, travel, meal, and lodging expenses incurred by you and your designated attendees to complete training programs that are not conducted on site. The total cost of pre-opening training and services may vary based on the size and location of your hotel, your experience, and the experience of your associates, as determined by us.
Pre-opening training and services costs include the following:
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- A team determined by us will conduct approximately 5 to 14 days of onsite training along with virtual support during the period beginning before and ending after the hotel opens. We estimate that these on-site costs generally will range from $30,000 to $90,000 based on the experience level and prior experience of your associates and the size of your hotel. You must retain a general manager and sales directors/managers at least nine to twelve months prior to hotel open
Source: Item 4 — BANKRUPTCY (FDD pages 34–39)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, the costs for pre-opening training and services provided by Delta Hotels By Marriott are generally non-refundable. These costs typically range from $75,250 to $152,250, but this range excludes costs discussed elsewhere in Item 5 or costs incurred when purchasing an existing Delta Hotels By Marriott. These fees cover various aspects of training and support, including property management system training, management and executive training, on-site task force training, virtual training, associate orientation materials, operations and sales and marketing support, and revenue management/reservation system consultation. The franchisee is also responsible for covering the travel, meal, and lodging expenses for Delta Hotels By Marriott's trainers.
The total cost of pre-opening training and services can fluctuate based on factors such as the hotel's size and location, as well as the experience levels of the franchisee and their associates, as determined by Delta Hotels By Marriott. On-site training, conducted by a team from Delta Hotels By Marriott, typically lasts between 5 to 14 days, with associated costs ranging from $30,000 to $90,000, depending on the experience of the franchisee's team and the hotel's size. Franchisees are required to have a general manager and sales directors/managers in place at least nine to twelve months before the hotel opens to participate in this pre-opening training.
Prospective Delta Hotels By Marriott franchisees should be aware that these non-refundable pre-opening training and service fees represent a significant initial investment. It is important to carefully consider these costs and the factors that may cause them to vary. Understanding the scope of the training and support provided for these fees is crucial for budgeting and preparing for the hotel opening. Franchisees should also factor in the additional expenses for travel, meals, and lodging, which are not included in the initial estimate. Given the non-refundable nature of these fees, franchisees should seek clarity on the specific services and training they will receive to ensure they align with their needs and expectations.