When is the Insurance fee due for a Sonesta Simply Suites franchise?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (Note 1) |
|---|---|---|---|
| Insurance | $500 per month, plus reimbursement for all premiums, costs, and expenses we incur | As billed | If you do not procure or maintain the required insurance or policy limits described in the Brand Manual, in addition to paying us a monthly fee, we may (but are not obligated to) procure and maintain insurance for you without first giving you notice, and you will be required to reimburse us. The monthly fee is subject to change. See Item 8 and Note 9. |
Source: Item 6 — OTHER FEES (FDD pages 25–36)
What This Means (2025 FDD)
According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, the insurance fee is due 'As billed'. The amount for this fee is $500 per month, plus reimbursement for all premiums, costs, and expenses Sonesta Simply Suites incurs.
This fee is charged if a franchisee does not procure or maintain the required insurance or policy limits described in the Brand Manual. In addition to paying the monthly fee, Sonesta Simply Suites has the option to procure and maintain insurance for the franchisee without notice, and the franchisee will be required to reimburse them.
It is important to note that the monthly fee of $500 is subject to change. Prospective franchisees should review Item 8 and Note 9 of the FDD for additional details regarding insurance requirements and potential changes to the fee structure.