On what date can HSS adjust the Maintenance Fees for Embassy Suites By Hilton?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
- 2.3 Increases/Decreases. HSS reserves the right to increase or decrease the Proprietary Software Maintenance cost on an annual basis to reflect increases or decreases in such costs and the addition or construction of additional guest rooms (or suites) by Customer for Customer's Hotel.
Source: Item 22 — CONTRACTS (FDD page 97)
What This Means (2025 FDD)
According to the 2025 Embassy Suites By Hilton Franchise Disclosure Document, HSS reserves the right to adjust the Proprietary Software Maintenance cost annually. These adjustments can reflect increases or decreases in HSS's costs, as well as any changes to the hotel, such as the addition or construction of more guest rooms or suites.
This means that as an Embassy Suites By Hilton franchisee, you should anticipate potential yearly fluctuations in your software maintenance expenses. These changes could be influenced by factors outside of your direct control, such as HSS's overall operating costs or any physical expansions you undertake at your hotel.
It is important to factor in these potential annual adjustments when budgeting for your franchise. You should also maintain open communication with HSS to understand the reasons behind any changes to your maintenance fees and to plan accordingly. Furthermore, it would be prudent to inquire about the typical range of these annual adjustments to better prepare for potential cost variations.