factual

To whom is the Even Hotels Initial Marketing Contribution to Loyalty Program payable?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

TYPE OF FEE AMOUNT DUE DATE REMARKS
Royalty
Royalty 5% of Gross Rooms Revenue (“GRR”). Monthly, on the 15th of the following month (Payable to Holiday) Note 1
Casualty Royalty 2% of GRR based on average GRR for preceding 12 months Monthly, on the 15th of the following month (payable to Holiday) Note 1
Sales and Marketing
Services Contribution 3.5% of GRR (combined marketing, reservations & training fee). Same as Royalty Note 2
Initial Marketing Contribution to Loyalty Program $10.00 per approved guest room. At same time as 1st Royalty Payment (one- time charge) (Payable to SCH) Note 3
Loyalty Program Contribution 4.55% of Qualifying Full Folio Revenue from Loyalty Program members. 1.365% of GRR on Qualifying Room and Meeting Revenue from Loyalty Program members. Same date as Royalty (Payable to SCH) Note 3

Source: Item 6 — OTHER FEES (FDD pages 30–52)

What This Means (2025 FDD)

According to Even Hotels' 2025 Franchise Disclosure Document, the Initial Marketing Contribution to the Loyalty Program is payable to SCH. This contribution amounts to $10.00 per approved guest room and is a one-time charge due at the same time as the first royalty payment.

This fee is specifically earmarked for the Loyalty Program, which, as of the date of the FDD, is marketed under names such as "IHG One Rewards", "InterContinental Ambassador", and "IHG® Business Rewards". The Loyalty Program incentivizes repeat business at Even Hotels and other brands within the SCH hotel portfolio, including Holiday Inn and Crowne Plaza, by rewarding members with points for qualifying stays.

The funds from this Initial Marketing Contribution are used to promote the Loyalty Program and attract members, which can drive revenue to the franchisee's Even Hotels location. Franchisees should factor this one-time charge into their initial investment costs and understand that participation in the Loyalty Program is mandatory as long as SCH chooses to market it. The franchisee also needs to be aware that the Loyalty Program may change over time, including potential modifications to costs and reward structures, as determined by SCH.

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.