What factors does Embassy Suites consider when evaluating the proposed management of the hotel?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
We will review and approve or disapprove your proposed management of the hotel (Franchise Agreement, Section 7.0).
In evaluating the proposed management, we look at the proposed management organizational structure, prior experience and performance in managing similar first-class, full-service hotels, as well as other relevant factors.
If we do not approve your proposed management, then we will require you to hire a professional hotel management company satisfactory to us to manage the hotel for at least the first year of operations.
At the end of the year, if you request it, we will reevaluate this requirement.
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 53–67)
What This Means (2025 FDD)
According to Embassy Suites' 2025 Franchise Disclosure Document, when evaluating a franchisee's proposed management for the hotel, Embassy Suites will review and either approve or disapprove of the proposed management. In their evaluation, Embassy Suites considers several factors.
Specifically, Embassy Suites assesses the proposed management's organizational structure. They also examine the prior experience and performance of the proposed management in managing similar first-class, full-service hotels. Furthermore, Embassy Suites may consider other relevant factors that are not explicitly detailed in this section.
If Embassy Suites does not approve the franchisee's proposed management, the franchisee will be required to hire a professional hotel management company that is satisfactory to Embassy Suites. This management company must manage the hotel for at least the first year of operations. After the first year, Embassy Suites will reevaluate this requirement if the franchisee requests it.