Where can I find the initial number of approved Guest Rooms for my Sonesta Simply Suites hotel?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Marks by the Opening Date, you will pay to us, as damages for failure to open on time and not as a penalty, our then-current Opening Date rescheduling fee (currently up to $5,000).
3. FEES.
A. Initial Fee. You must pay us at the time of your execution of this Agreement a non-refundable initial fee in the amount of $50,000 or $400 per Guest Room (defined below), whichever is greater (the "Initial Fee"). The Initial Fee must be paid to us by cashier's check, bank certified check, wire transfer. ACH. or credit card.
"Guest Room" means each rentable unit in your Hotel generally used for overnight guest accommodations, the entrance to which is controlled by the same key. Adjacent Gues
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, the initial number of approved Guest Rooms for your hotel is identified on Exhibit A of the Franchise Agreement. This number is important because it directly impacts the initial fee you will pay to Sonesta Simply Suites.
The initial fee is calculated as the greater of $50,000 or $400 per Guest Room. For example, if Exhibit A specifies 100 approved Guest Rooms, the initial fee would be $40,000 (100 rooms x $400/room), but since this is less than the minimum $50,000, you would pay $50,000. If Exhibit A specifies 150 rooms, the initial fee would be $60,000 (150 rooms x $400/room).
Understanding the approved number of Guest Rooms is crucial for budgeting and financial planning as a Sonesta Simply Suites franchisee. It's important to review Exhibit A carefully and confirm the number of approved Guest Rooms before signing the Franchise Agreement to avoid any surprises regarding the initial fee. Guest Rooms are defined as rentable units used for overnight guest accommodations with entrances controlled by the same key; adjacent rooms with connecting doors that can be rented separately are considered separate Guest Rooms.