What other fees and expenses are associated with a Springhill Suites By Marriott franchise, as outlined in the FDD?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
- 3.3 Franchisor Travel Costs. If Franchisor requests, Franchisee will reimburse Franchisor for all Travel Costs for individuals designated by Franchisor to conduct training, inspections, audits, or other services for the Hotel, including counseling and advisory services, which will not exceed the amounts permissible under Franchisor's corporate travel policies.
- 3.4 Other Fees, Charges and Costs. Franchisee will pay the fees, charges and costs required under this Agreement and any other Marriott Agreement, and will pay for any optional programs in which it participates. Franchisee will also pay Franchisor for any goods or services purchased, leased or licensed by Franchisee from Franchisor, including any costs related to purchasing, installing and upgrading any Electronic Systems. The Franchise Fees and Application Fee are personal to Franchisee and are as stated in this Agreement; all other fees, charges and costs under this Agreement and any other Marriott Agreement (and any applicable changes) will be computed on a fair and consistent basis among similarly situated System Hotels. Franchisor may change such other fees, charges and costs to reflect any change in (i) the costs of providing, or the scope of, the relevant goods, programs or services; (ii) the method Franchisor uses to determine allocation of the applicable charges; or (iii) the competitive needs of the System.
Source: Item 23 — RECEIPTS (FDD pages 139–206)
What This Means (2025 FDD)
According to the 2025 Springhill Suites By Marriott Franchise Disclosure Document, franchisees are responsible for various other fees, charges, and costs as outlined in the franchise agreement and related documents. These include reimbursing Springhill Suites By Marriott for travel costs incurred by their personnel for training, inspections, audits, or other services provided to the hotel. These travel costs will not exceed the amounts permissible under Springhill Suites By Marriott's corporate travel policies.
Additionally, franchisees must cover fees, charges, and costs required under the franchise agreement and any other Marriott agreement, as well as expenses for any optional programs they choose to participate in. Franchisees are also responsible for paying Springhill Suites By Marriott for any goods or services purchased, leased, or licensed from them, including costs related to purchasing, installing, and upgrading any Electronic Systems.
Springhill Suites By Marriott specifies that while the Franchise Fees and Application Fee are specific to the franchisee and stated in the agreement, all other fees, charges, and costs under the agreement and any other Marriott agreement will be computed on a fair and consistent basis among similarly situated System Hotels. These other fees, charges, and costs are subject to change to reflect any change in (i) the costs of providing, or the scope of, the relevant goods, programs, or services; (ii) the method Springhill Suites By Marriott uses to determine allocation of the applicable charges; or (iii) the competitive needs of the System. This means that franchisees should be prepared for potential adjustments to these fees based on various factors affecting the Springhill Suites By Marriott system.