factual

Who is responsible for the cost of building the Embassy Suites' database, including verification of software functioning, installation, conversion, implementation, data conversion, or recovery?

Embassy_Suites Franchise · 2025 FDD

Answer from 2025 FDD Document

These consultants may:

  • (a) work with the Hotel, which is responsible for the cost of building the Hotel's database, including the verification of the proper functioning of the Software, installation, conversion, implementation, data conversion or recovery;

Source: Item 23 — RECEIPTS (FDD pages 97–305)

What This Means (2025 FDD)

According to Embassy Suites' 2025 Franchise Disclosure Document, the franchisee, referred to as 'the Hotel,' is responsible for the cost of building the hotel's database. This responsibility extends to verifying the proper functioning of the software, as well as the installation, conversion, implementation, data conversion, and data recovery processes.

Embassy Suites provides services through Systems Implementation consultants, with the number of consultants and the duration of their service determined by Embassy Suites based on the hotel's size, type, and IT requirements. These consultants work with the hotel management to adapt the Information System to meet the hotel's specific needs, support staff in using the system, and ensure the hotel has all necessary tools for implementation, such as authorized equipment and certified third-party software.

This means that while Embassy Suites provides consultants to assist with the implementation of the information systems, the franchisee bears the direct financial burden for the database construction and related processes. This is a significant cost consideration for prospective franchisees, as it includes not only the initial setup but also ongoing verification and potential data recovery expenses. Franchisees should carefully budget for these IT-related costs and discuss the expected scope and scale of these expenses with Embassy Suites during their due diligence.

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.