What is the range of Reservation Fees for a Sonesta Select Sonesta Essential franchise?
Sonesta_Select_Sonesta_Essential Franchise · 2025 FDDAnswer from 2025 FDD Document
y by the 20th day of the following month | See Note 2. | | TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (Note 1) | |------------------------------------------------------------------|---------------------------------------------------------------------------------------|-----------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | Brand Promotion Fee | 3.5% of Gross Rooms Revenue | Payable monthly by the 20 th day of the following month | See Note 2. We may increase the Brand Promotion Fee up to 4.5%, upon notice to you. | | Loyalty Program | 3% of Qualified Revenue | Payable monthly by the 20 th day of the following month | See Note 3. | | Reservation Fees | $1.75 to $10.50 per reservation | Payable monthly by the 20 th day of the following month | See Notes 4 and 9. | | Travel Agency Commission Settlement Fee | Up to $0.85 per transaction | Payable monthly by the 20 th day of the following month | See Notes 5 and 9. | | Groups, Meetings, and, Events | 5% on consumed master folio per group | Payable monthly by the 20 th day of the following month | This is a Sales Administrative fee charged by us to help defray some of the costs incurred by us in generating certain business for you. If you fail to report the number of room nights actually consumed by a group within 15 days of the group's departure, this fee will be charged based on the contracted for room nights. See Note 9. | | Travel Management Company ("TMC") and Consortia Fees | 3.25% of Consumed Revenue (in addition to standard travel agency commission) | Payable monthly by the 20 th day of the following month | This fee applies to our preferred TMC/Consortia/Affinity group. You also will be responsible for any commissions or other remuneration payable to the TMC or consortia participant. "Consumed Revenue" means the gross revenue generated from bookings consumed through travel agencies. See Note 9. | | Ignite Booking Program (Annual Fee) | $500 per year (or $800 per year if integrated with Delphi Sales System) | Payable annually | This is an administrative fee charged by us to offset the costs incurred by us in facilitating this internal lead referral program between participating hotels. This fee is payable on a calendar year basis, due in full when invoiced, and wil
Source: Item 6 — OTHER FEES (FDD pages 24–36)
What This Means (2025 FDD)
According to Sonesta Select Sonesta Essential's 2025 Franchise Disclosure Document, franchisees must participate in reservation systems made available by the company. Each reservation is subject to fees ranging from $1.75 to $10.50, depending on the reservation source.
The specific fees are $1.75 per transaction through Direct Connect interfaces and the Brand-dedicated website. A fee of $4.00 is applied per transaction through the Internet Distribution System and per call for Voice Reservation Service with Auto Attendant. The highest fee, $10.50 per transaction, is for reservations sourced from the Global Distribution Systems.
In addition to these fees, franchisees are responsible for all other costs, including third-party costs and fees incurred through the Central Reservation System. These fees are subject to change. Booking fees will be charged for cancelled reservations unless they are cancelled through the same channel in which they were made. These reservation fees are payable monthly by the 20th day of the following month.