How is the Revenue Management System fee calculated for a Sonesta Simply Suites franchise?
Sonesta_Simply_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
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| TYPE OF FEE | AMOUNT | DUE DATE | REMARKS (Note 1) |
|---|---|---|---|
| Pre-Opening Damages | $3,600 per Guest Room | Upon demand | You must pay us these damages if we terminate the Franchise Agreement for your breach before the authorized opening of your Hotel. |
| Unauthorized Opening Damages | $5,000 per day that your Hotel is open without authorization and our costs, including attorneys' fees | Upon demand | If you open your Hotel before we authorize it to open as a Brand Hotel, you must pay us liquidated damages to compensate us for damage to our Marks. You also must reimburse us for our costs of enforcing our rights. |
| Failure to De Identify Damages | $500 per day, plus our expenses | Upon demand | If you fail to comply with all of your de identification obligations within 30 days after the expiration or termination of your Franchise Agreement, you must pay us this fee for each day in which you are in breach of your obligations. This is in addition to other damages and remedies to which we may be entitled under applicable law. |
| Revenue Management For Hire | $995 to $2,500 per month depending on your room count, market and square feet of function space | Payable monthly by the 20th day of the following month | Note 10 provides a description of this service which is required unless your Hotel has a Revenue Manager who meets our criteria. See Note 9. |
| Revenue Management System | $5.13 per Guest Room per month | Payable monthly by the 20th day of the following month | Fees for ong |
Source: Item 6 — OTHER FEES (FDD pages 25–36)
What This Means (2025 FDD)
According to Sonesta Simply Suites's 2025 Franchise Disclosure Document, franchisees must pay a Revenue Management System fee of $5.13 per guest room per month. This fee is for ongoing system maintenance and support. The payment is due monthly, specifically by the 20th day of the following month.
This fee is separate from the Revenue Management For Hire (RMFH) program, which costs between $995 and $2,500 per month depending on the hotel's room count, market, and square footage of function space. Participation in the RMFH program is required for the first year after the hotel's opening date. After the first year, participation is mandatory if the hotel does not have a qualified Hotel Revenue Manager.
Franchisees should note that these fees contribute to the overall cost of operating a Sonesta Simply Suites franchise and should be factored into their financial projections. It is important to understand the specific requirements and costs associated with both the Revenue Management System and the Revenue Management For Hire program to effectively manage the hotel's revenue and profitability.