For Embassy Suites, in what currency must all payments under the agreement be made?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
All fees indicated are exclusive of applicable taxes (see Agreement sections on taxes). Unless otherwise specified by HSS in writing, Customer will make all payments in United States dollars to HSS or any other party designated by HSS in its sole discretion. Customer will pay according to the terms of any invoice(s) submitted to Customer therefore, including any provision for late charges, the fee for the installation of any telephone line(s) or wide area network connection(s) necessary for connection of the Authorized Equipment.
Source: Item 23 — RECEIPTS (FDD pages 97–305)
What This Means (2025 FDD)
According to the 2025 Embassy Suites Franchise Disclosure Document, unless otherwise specified in writing by HSS (presumably Hilton Supply Management Services), all payments must be made in United States dollars. This applies to all fees and payments outlined in the agreement.
This requirement ensures that all financial transactions between the franchisee and Embassy Suites are conducted in a standardized currency, simplifying accounting and reducing the risks associated with currency exchange rate fluctuations. It is a fairly standard practice in the franchise industry to denominate fees in the franchisor's local currency.
The franchisee is responsible for any costs associated with currency conversion if they operate outside the United States and their local currency is not U.S. dollars. Franchisees should be aware of this requirement and factor in any potential currency conversion costs when budgeting for their Embassy Suites franchise.