How much is the Franchise Application Fee for a change of ownership of an Embassy Suites By Hilton?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
tes. Unless otherwise stated, these are not refundable under any circumstances.
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS |
|---|---|---|---|
| General | |||
| Franchise Application Fee – New Development or Conversion | $100,000, plus $400 for each additional guest room or suite over 250. | With Application. | See Note 1. |
| Franchise Application Fee – Change of Ownership | $200,000 | With Application. | See Note 1. |
| Franchise Application Fee – Re-licensing | $100,000 | With Application. | See Note 1. |
| Property Improvement Plan ("PIP") Fee | $10,000 | Before PIP inspection is scheduled. | Payable to prepare a PIP for a Conversion, Change of Ownership, or Re-licensing of an existing hotel. In some circumstances, we may waive the PIP fee or apply the PIP fee |
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS towards the payment of the Franchise Application Fee, but we are not obligated to do so. |
Source: Item 5 — INITIAL FEES (FDD pages 22–27)
What This Means (2025 FDD)
According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, the Franchise Application Fee for a change of ownership is $200,000, payable with the application. This fee is generally non-refundable once the application is approved. However, if the change of ownership does not occur, Embassy Suites By Hilton will refund the fee, less a $7,500 processing fee.
Embassy Suites By Hilton may elect to reduce the Franchise Application Fee after considering criteria such as incentives for hotel development within the System, a hotel's market position, the property size, and the number of hotels in the System operated by a franchisee. In limited and unique circumstances, Embassy Suites By Hilton may waive part of the Franchise Application Fee or negotiate the Franchise Application Fee for franchisees with whom they have previously dealt.
In 2024, franchisees paid Franchise Application Fees of $7,500 to $200,000 for Change of Ownership. Prospective franchisees should be aware that while the standard fee is $200,000, the actual fee can vary significantly based on the specific circumstances and Embassy Suites By Hilton's discretion. Franchisees should inquire about the specific factors that could influence the fee in their case.