What additional fees might be required during the Even Hotels opening process?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
During the hotel opening process, you may be required to pay additional fees for pre-and post-opening consultations and inspections conducted by SCH or designated representatives. These additional fees that are payable to SCH and are associated with on-site visits, rescheduling of those visits or extensions of your hotel's opening date, will not exceed $5,000 per visit and you must also pay for the expenses of such representatives' travel, living and lodging expenses while conducting the visit.
In the event additional onsite training is required at the hotel, additional costs may be incurred which currently range from $1,500-$6,000 depending on the scope of additional learning needs for the hotel.
In the event the hotel fails its opening inspection, Holiday may charge you $5,000 plus expenses for each re-evaluation and re-inspection.
For EVEN Hotels with fewer than 150 rooms, SCH designates the new Cloud-Based Property Management System provided by HotelKey ("Cloud PMS"). As of the date of this disclosure document, HotelKey is the only approved Cloud PMS provider (see Items 1,5,6,7,8 and 11). Cloud PMS has a straightforward pricing structure, consisting of two monthly fees (a PMS Solution Fee and an Implementation Fee (during the initial 48 months)). Payment of these fees must be made directly to SCH. Holiday estimates the cost for the Cloud PMS to be $22,000 to $26,000 for a hotel with 1-100 rooms; $24,000 to $29,000 for a hotel with 101-175 rooms; $28,000 to $37,000 for a hotel with 176- 250 rooms; and $40,000 or greater for a hotel with 251 rooms or more.
For hotels with 150+ rooms, SCH currently designates Oracle America, Inc. as the PMS provider and requires you to operate on the Premise-Based Opera or Opera Xpress PMS software (see Items 1, 5, 6, 7, 8 and 11). The estimated costs for the equipment configuration, installation, software and training will vary depending on the number of guest rooms and technology needs at your Hotel. SCH estimates that the cost for a premise-based PMS installation and the purchase of required hardware devices (i.e., workstations and printers) will range from $67,000 to $75,000 for a hotel with 1-100 rooms; $73,000 to $90,000 for a hotel with 150-175 rooms; $88,000 to $123,000 for a hotel with 176-250 rooms; $126,000 to $158,000 for a hotel with 251-350 rooms; and $176,000 or greater for a hotel with 351 rooms or more.
These estimated costs do not include other training, additional equipment, additional software, additional operational manuals, shipping and handling, taxes, insurance, or food, travel and lodging expenses of your employees, vendor employees, SCH employees or contractors who install the PMS and Reservation System equipment and software at your Hotel and train your employees to use them, or the cost of internal hotel cabling or infrastructure.
Source: Item 5 — INITIAL FEES (FDD pages 27–30)
What This Means (2025 FDD)
According to Even Hotels' 2025 Franchise Disclosure Document, franchisees may incur additional fees during the hotel opening process for various services and potential issues. These fees primarily relate to consultations, inspections, training, and technology.
During the opening process, Even Hotels franchisees may be required to pay additional fees for pre- and post-opening consultations and inspections conducted by SCH (presumably, the parent company) or their representatives. These fees, payable to SCH, can arise from on-site visits, rescheduling visits, or extending the hotel's opening date. The fees will not exceed $5,000 per visit, and franchisees are also responsible for covering the travel, living, and lodging expenses of the representatives during these visits.
In the event that additional on-site training is required at the hotel, franchisees may incur additional costs ranging from $1,500 to $6,000, depending on the scope of the additional learning needs. Furthermore, if a conversion hotel fails its opening inspection, Even Hotels may charge $5,000 plus expenses for each re-evaluation and re-inspection. These fees highlight the importance of thorough preparation and adherence to brand standards to minimize unexpected costs during the opening phase.
For Even Hotels with fewer than 150 rooms, the estimated cost for the Cloud PMS ranges from $22,000 to $26,000 for a hotel with 1-100 rooms and $24,000 to $29,000 for a hotel with 101-175 rooms. For hotels with 150+ rooms, the estimated costs for the equipment configuration, installation, software and training for the Premise-Based Opera or Opera Xpress PMS software will range from $67,000 to $75,000 for a hotel with 1-100 rooms and $73,000 to $90,000 for a hotel with 150-175 rooms. These costs do not include other training, additional equipment, additional software, additional operational manuals, shipping and handling, taxes, insurance, or food, travel and lodging expenses of your employees, vendor employees, SCH employees or contractors who install the PMS and Reservation System equipment and software at your Hotel and train your employees to use them, or the cost of internal hotel cabling or infrastructure.