Under what conditions might Embassy Suites By Hilton make exceptions to its standards?
Embassy_Suites_By_Hilton Franchise · 2025 FDDAnswer from 2025 FDD Document
We may periodically require you to modernize, rehabilitate and/or upgrade your Hotel's furniture, furnishings, fixtures, finishes, equipment, fittings, signs, computer hardware and software and related equipment, supplies and other items to meet the then current standards and specifications specified in the Manual. These standards will benefit the System as a whole. You must make these changes at your sole cost and expense. You must also maintain acceptable product quality ratings at your Hotel and maintain the hotel in accordance with the Standards. We may make limited exceptions from some of those standards based on local conditions or special circumstances, but we are not required to do so.
Source: Item 16 — RESTRICTIONS ON WHAT THE FRANCHISEE MAY SELL (FDD pages 75–77)
What This Means (2025 FDD)
According to Embassy Suites By Hilton's 2025 Franchise Disclosure Document, the brand may make limited exceptions to some of its standards based on local conditions or special circumstances. However, Embassy Suites By Hilton is not required to make these exceptions. These standards relate to modernizing, rehabilitating, and/or upgrading the Hotel's furniture, furnishings, fixtures, finishes, equipment, fittings, signs, computer hardware and software and related equipment, supplies and other items to meet the then current standards and specifications specified in the Manual.
For a prospective franchisee, this means that while Embassy Suites By Hilton generally requires strict adherence to its standards to maintain consistency across the system, there is a possibility for some flexibility. This could be beneficial if a franchisee faces unique challenges due to the location of their hotel or other unforeseen circumstances. However, it's important to note that these exceptions are not guaranteed and are at the discretion of Embassy Suites By Hilton.
This flexibility, while limited, can be a positive aspect of the franchise agreement, as it acknowledges that a one-size-fits-all approach may not always be feasible. Franchisees should carefully assess their local market conditions and potential challenges before investing, and discuss the possibility of obtaining exceptions with Embassy Suites By Hilton during the due diligence process. Understanding the types of exceptions that have been granted in the past, and the criteria used to evaluate such requests, can help a franchisee better prepare their business plan and manage expectations.