When is the PIP fee due to Sonesta Simply Suites?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (Note 1) |
|---|---|---|---|
| PIP Fee | Up to $5,000 per PIP | Upon demand | At any time during the term of the Franchise Agreement, if we determine your Hotel is not in compliance with Brand Standards or online reviews or guest comments have raised concerns with your compliance with Brand Standards, or in connection with a Periodic Renovation (defined in Item 11) notice, we may issue a PIP to you and charge you a PIP Fee. See Note 9. |
Source: Item 6 — OTHER FEES (FDD pages 25–36)
What This Means (2025 FDD)
According to Sonesta Simply Suites' 2025 Franchise Disclosure Document, the PIP fee is due upon demand. The PIP fee can be up to $5,000 per PIP.
Sonesta Simply Suites may charge this fee at any time during the term of the Franchise Agreement if they determine that the hotel is not in compliance with Brand Standards. This determination can be based on online reviews or guest comments that raise concerns about compliance. The fee may also be charged in connection with a Periodic Renovation notice.
This means that as a franchisee, you need to be prepared to potentially pay this fee at any point during the agreement if Sonesta Simply Suites identifies a need for improvement based on their standards or guest feedback. It is important to maintain compliance with brand standards to avoid incurring this fee. Also, franchisees should budget for potential PIP fees when planning for renovations.