factual

Does Holiday require an Even Hotels franchisee to personally participate in the direct operation of the Hotel?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

Whether you are an individual, corporation, partnership or other entity, Holiday requires you to retain and exercise direct management control over the Hotel's business at all times unless otherwise approved by Holiday. However, Holiday does not require that you participate personally in the direct operation of the Hotel. Regardless of whether you or a third party management company operate your Hotel, both a duly qualified and experienced General Manager and Director of Sales employed by you or your management company must each work exclusively for your EVEN® Hotel at all times, and if you own more than one EVEN® Hotel or other hotels, you must have a separate, qualified General Manager and Director of Sales for each hotel. Holiday may include conditions in your License requiring you to hire a duly qualified and experienced (i) management company acceptable to Holiday or (ii) a General Manager or Director of Sales with at least two years prior experience in such position at a hotel operated under any of Holiday's upscale brands or at a hotel in a similar brand segment as the Hotel, as defined by Smith Travel Research, Inc. You must obtain Holiday's written consent before entering into any lease, management agreement or other similar arrangement for the operation of the hotel or any part of the hotel with any entity. Holiday may require that any management company you hire have experience in managing hotels similar to EVEN® Hotels.

Source: Item 15 — Obligation to Participate in the Actual Operation of the Franchise Business (FDD pages 85–87)

What This Means (2025 FDD)

According to Even Hotels's 2025 Franchise Disclosure Document, Holiday does not require franchisees to personally participate in the direct operation of the hotel. However, Holiday mandates that franchisees retain and exercise direct management control over the hotel's business at all times, unless Holiday approves otherwise. This means that while franchisees are not required to be involved in day-to-day operations, they must maintain oversight and control of the business.

Even if a third-party management company operates the Even Hotels location, a qualified and experienced General Manager and Director of Sales must be employed and work exclusively for that specific Even Hotels location. If a franchisee owns multiple Even Hotels or other hotels, a separate, qualified General Manager and Director of Sales is required for each hotel. Holiday may also include conditions in the License Agreement requiring franchisees to hire a management company acceptable to Holiday, or a General Manager or Director of Sales with at least two years of prior experience in a similar role at an upscale hotel brand.

Franchisees must obtain Holiday's written consent before entering into any lease, management agreement, or similar arrangement for the operation of the hotel. Holiday may reject a proposed management company if it deems them inexperienced or unqualified. While Holiday requires the franchisee to hire a management company, General Manager, or Director of Sales, the franchisee remains responsible for their selection, conduct, and performance. Holiday has no responsibilities or liability in connection with the franchisee's selection and its, his or her conduct or performance.

Disclaimer: This information is extracted from the 2025 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.