Does the Sonesta Simply Suites Franchise Agreement mention an onboarding administration fee for a Sonesta Simply Suites franchise?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
Rooms with connecting doors that can be rented as separate units are considered separate Guest Rooms. The initial number of approved Guest Rooms is identified on Exhibit A.
- B. Onboarding Administration Fee. You will pay us an onboarding administration fee of $2,500 (or, if you are acquiring an existing Brand Hotel, a reduced fee of $2,0
Source: Item 22 — CONTRACTS (FDD pages 79–80)
What This Means (2025 FDD)
According to the 2025 Sonesta Simply Suites Franchise Disclosure Document, the Franchise Agreement includes an onboarding administration fee. New Sonesta Simply Suites franchisees will pay $2,500 for onboarding services related to opening their hotel as a branded location. However, franchisees acquiring an existing branded hotel will pay a reduced onboarding administration fee of $2,000.
This fee is non-refundable and is due during or immediately after the onboarding process. It is important to note that this fee is separate from the initial franchise fee, which is $50,000 or $400 per guest room, whichever is greater. The onboarding administration fee covers the costs associated with integrating the new franchise location into the Sonesta Simply Suites system and providing the necessary training and support to the franchisee.
Prospective franchisees should factor this fee into their initial investment costs and understand the timing of the payment. It is advisable to clarify with Sonesta Simply Suites the specific services covered by the onboarding administration fee and the details of the onboarding process to ensure a smooth transition and successful launch of the franchise.