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Under what conditions might IHG charge Even Hotels reasonable fees related to the system?

Even_Hotels Franchise · 2025 FDD

Answer from 2025 FDD Document

Local and regional marketing programs and related activities may be conducted by Licensee, but only at Licensee's expense and subject to IHG's requirements and the Standards. Reasonable charges may be made for optional advertising materials ordered or supplied by IHG to Licensee for such programs and activities.

During the License Term, IHG will continue to specify and provide required and optional training services and programs at various locations and in various formats. A fee may be charged for certain required and optional training services. Reasonable charges may also be assessed for training materials.

In the event site preparation has not been completed to the reasonable satisfaction of IHG in a timely manner, Licensee will pay upon invoice from IHG the amount of $2,600 (as such charge may be modified by IHG from time to time).

SCH shall be reimbursed at actual cost for all travel related expenses (if travel is required or requested by Client) incurred by SCH personnel. This fee will be charged to the hotel once the visit has been completed.

Hotels will be charged a one-time registration fee ($800 USD) in the first month of service. This fee only applies to new hotels to IHG Revenue Services (RMH) (including NHOP).

Source: Item 23 — RECEIPTS (FDD pages 99–438)

What This Means (2025 FDD)

According to Even Hotels' 2025 Franchise Disclosure Document, IHG can charge reasonable fees under several circumstances. IHG may make reasonable charges for optional advertising materials that Even Hotels orders or that IHG supplies for local and regional marketing programs. IHG may also charge Even Hotels for certain required and optional training services and materials. If Even Hotels experiences delays in site preparation for Hardware installation, they may be charged $2,600 (as such charge may be modified by IHG from time to time).

Additionally, if Even Hotels requests travel from SCH personnel, SCH will be reimbursed at actual cost for all travel-related expenses. New hotels to IHG Revenue Services (RMH) will be charged a one-time registration fee of $800 in the first month of service.

These fees are in addition to the standard fees such as the Application Fee, Rooms Addition Fee, Royalty Fee, and IHG System Fund Contribution, which includes the Services Contribution and the Loyalty Program Contribution. Understanding these potential additional charges is crucial for prospective franchisees to accurately budget and manage their investment in an Even Hotels franchise.

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.