What is included in the definition of 'Gross Spa Revenue' for an Embassy Suites eforea spa?

According to Embassy Suites's 2025 Franchise Disclosure Document, Gross Spa Revenue for an eforea spa includes all revenue from services and retail sales of products. However, this definition excludes amounts for spa rebates and overcharges, sales or other taxes collected directly from spa customers, and any revenue derived from food and beverage sales from the eforea spa.

For a prospective Embassy Suites franchisee, understanding this definition is crucial because the Spa Royalty fee, which is 2% of Gross Spa Revenue, is calculated based on this figure. Accurately tracking and reporting revenue according to this definition will ensure compliance with the franchise agreement and avoid potential disputes with Embassy Suites.

It is important to note that while food and beverage sales are excluded from Gross Spa Revenue, all revenue from spa services and retail product sales are included. This means franchisees should have systems in place to properly allocate revenue streams within the eforea spa to ensure accurate royalty payments.