What costs are associated with the Access Point for an Even Hotels franchise?
Even_Hotels Franchise · 2025 FDDAnswer from 2025 FDD Document
fied by IHG from time to time). Proper site preparation is essential to the performance of the Hardware and no Hardware will be installed unless and until site preparation has been completed to the reasonable satisfaction of IHG.
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- Installation. IHG will notify Licensee of the projected Hardware installation date and will schedule it to be installed at the Hotel. Any Software or Hardware installation delay caused by Licensee will not affect Licensee's obligation to pay any fees or amounts due hereunder. Licensee will be responsible for the time and expenses of its employees, if any, required to assist in the installation of the Software or Hardware and additional expenses incurred by IHG or Service Providers resulting from delays in installation caused by Licensee or its Agents. Licensee will pay the travel and related expenses of, and shall provide lodging and meals to, IHG's and/or the Service Provider's personnel (or a reasonable per diem meal allowance). Licensee will be responsible for the costs of any site preparation work that must be performed by IHG or Service Providers, as well as the costs associated with the installation of any Hardware or Software not part of the Minimum Configuration. Licensee will obtain, coordinate, and notify IHG of the services of any external parties whose products or services Licensee desires to connect to or interface with the reservation system or property management system, such as telephone switches, point-of-sale devices, and in-room movie or entertainment services. Delay by any communications company or any Hardware supplier in performing its obligations to IHG will, for the duration of the delay, excuse any delay by IHG with respect to these installation obligations.
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- Minimum Hardware Quantities. IHG reserves the right in its sole discretion to identify the number of each of the Hardware items required for operations at the Hotel.
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- WAN Installation Fee. Licensee will pay the fee for the wide area network (WAN) installation according to IHG's or a Service Provider's standard rates. Such fee will be payable upon the WAN installation.
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- PMS Training. IHG or a Service Provider will provide training services for Licensee's employees in the use of the PMS. Licensee shall cause the staff who will use the PMS to participate in and comply with the required training. Instructor-led training (on-site or remote) is conducted prior to operations of the PMS. The Hotel staff is required to attend and to demonstrate proficiency with the PMS, with class attendance of 80% or more and a passing score of 90% or greater on the final exam. Licensee will provide adequate space for training during normal business hours.
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- PMS Training Fees. Licensee will pay the fee for the PMS training according to IHG's or a Service Provider's standard rates, as further specified on an Order Form.
Source: Item 23 — RECEIPTS (FDD pages 99–438)
What This Means (2025 FDD)
According to the 2025 Even Hotels Franchise Disclosure Document, franchisees are responsible for several costs related to the hotel's access point and technology systems. These include fees for the wide area network (WAN) installation, which are based on Even Hotels' or a service provider's standard rates and are payable upon installation. Additionally, franchisees must cover the costs of Property Management System (PMS) training for their employees, with fees determined by Even Hotels or a service provider and payable in advance after completing an order form.
Even Hotels franchisees are also responsible for the travel, lodging, and meal expenses (or a reasonable per diem meal allowance) for Even Hotels' or the service provider's personnel. They must also bear the costs of any necessary site preparation work performed by Even Hotels or service providers, as well as the expenses for installing any hardware or software that is not part of the minimum configuration required by Even Hotels. Furthermore, franchisees are responsible for coordinating and covering the costs associated with integrating external services or products, such as telephone switches and point-of-sale devices, with the reservation or property management systems.
The FDD also specifies that the hotel owner is responsible for any monthly service fees charged by the local phone vendor or long-distance carrier. This includes any programming expenses related to setting up the IHG Voice Reservation Service link, as well as any subsequent maintenance or repair expenses incurred at the hotel level. The hotel must also secure and maintain a dedicated, toll-free reservation line with its chosen long-distance carrier at its own cost. Additionally, the hotel owner pays $7.65 per net booking on all reservations booked by the Office for the Hotel. This fee may be modified by SCH once per calendar year, with increases not exceeding 10% of the previous fee.
If a franchisee requests support from IHG for troubleshooting or repairing detrimental effects to hardware or software, the franchisee will be solely responsible for all related service, repair, or replacement costs, including those of IHG or its service providers, billed on a time-and-materials basis. Franchisees must purchase and install then-current approved software and hardware within 90 days (or a shorter or longer period specified by IHG in writing) following any update to the Minimum Configuration by IHG.