What initial operating expenses are included in the three-month estimate for Even Hotels?

According to Even Hotels' 2025 Franchise Disclosure Document, the initial operating expenses for the first three months after opening include several key items. These expenses cover the period when the new Even Hotels location is establishing its operations and building its customer base. Specifically, the estimate includes costs associated with opening advertising programs to attract initial customers, payroll costs for employees, and royalty payments to the franchisor.

Additionally, the three-month estimate incorporates Services Contribution payments, which are fees paid for ongoing support and services provided by the franchisor. It also accounts for hardware and software support expenses necessary for the hotel's technology infrastructure, as well as utility charges for services like electricity, water, and gas. Finally, the estimate includes other supply costs required for the day-to-day operation of the hotel.

However, Even Hotels notes that these figures are estimates, and actual expenses may vary. Factors influencing these costs include the franchisee's adherence to the franchisor's methods and procedures, the franchisee's management skills and business acumen, local economic conditions, the local market for Even Hotels' services, prevailing wage rates, competition, and the sales level achieved during the initial period. Prospective franchisees should carefully consider these factors and consult with business advisors to develop a realistic budget for their initial operating expenses.