Is RMCC generally optional for an Embassy Suites franchise?
Embassy_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
on hotel performance. The program terms, eligibility, and fees are subject to change.
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- RMCC is optional except in the following circumstances. Category 1: If your Hotel is open and has an active PIP, it must participate in our one-time "Foundation Audit." Category 2: If you are a first-time franchise owner, the Hotel is your first Brand Hotel, the Hotel is a new construction Hotel, or you change your General Manager, your Hotel must participate in our monthly service "Intermediate Model." If your Hotel is projected to generate or does generate over $10 million in annual Gross Room Revenue or is located in a dynamic market with a complex mix of business and a need for forecasting support, it must participate in our monthly full service "Premier Model." Brand Performance Guidelines: In addition, if your Hotel fails to achieve minimum performance
guidelines ("Brand Performance Guidelines") at any time during the term, a one-time Audit will be conducted including a consultation with you on the results. If your Hotel still does not meet the Brand Performance Guidelines 6 months after that Audit, it will be required to participate in the applicable Category 2 service model for at least 12 months. RMCC programs and fees are subject to change.
Source: Item 6 — OTHER FEES (FDD pages 27–41)
What This Means (2025 FDD)
According to Embassy Suites's 2025 Franchise Disclosure Document, participation in the RMCC (Revenue Management Call Center) program is generally optional, but there are several circumstances where it becomes mandatory.
Specifically, if an existing Embassy Suites hotel has an active Property Improvement Plan (PIP), it must participate in a one-time "Foundation Audit." Furthermore, new franchisees, those opening their first Embassy Suites hotel, new construction hotels, or hotels with a change in General Manager are required to participate in the monthly "Intermediate Model" service. Hotels projected to generate or actually generating over $10 million in annual Gross Room Revenue, or those in dynamic markets needing forecasting support, must participate in the monthly full-service "Premier Model."
Additionally, if an Embassy Suites hotel fails to meet the Brand Performance Guidelines, a one-time audit will be conducted. Should the hotel still fail to meet these guidelines six months after the audit, participation in the applicable Category 2 service model is required for at least 12 months. It is important to note that RMCC programs and fees are subject to change, so prospective franchisees should confirm the current terms and costs with Embassy Suites.