What is the initial franchise application fee for a Springhill Suites By Marriott with 80-110 guestrooms?
Springhill_Suites_By_Marriott Franchise · 2025 FDDAnswer from 2025 FDD Document
UR ESTIMATED INITIAL INVESTMENT
| TYPE OF EXPENDITURE | AMOUNT FOR A 80 – 110 GUESTROOM HOTEL | AMOUNT FOR A 120 – 150 GUESTROOM HOTEL | METHOD OF PAYMENT | WHEN DUE | TO WHOM PAYMENT IS TO BE MADE |
|---|---|---|---|---|---|
| Initial Franchise Application Fee1 | $75,000 | $75,000 | Lump sum | Generally due with the fr |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 64–66)
What This Means (2025 FDD)
According to Springhill Suites By Marriott's 2025 Franchise Disclosure Document, the initial franchise application fee for a hotel with 80 to 110 guestrooms is $75,000. This fee is generally due when the franchise application is submitted to Marriott. Unlike other payments to Marriott, this initial franchise application fee is partially refundable if Marriott does not approve the application.
This fee is a standard part of the initial investment for a new Springhill Suites By Marriott franchise. It is important for prospective franchisees to note that this fee is just one component of the total estimated initial investment, which ranges from $12,999,500 to $30,393,500 for an 80-110 guestroom hotel. This total investment covers various expenses, including pre-opening costs, property management systems, market feasibility studies, real estate, construction, equipment, furniture, technology, operating supplies, design services, insurance, start-up costs, advertising, and additional funds for the first three months of operation.
Prospective franchisees should carefully consider all the costs involved and review the estimates with their business and legal advisors. Understanding the full scope of the initial investment is crucial for making an informed decision about purchasing a Springhill Suites By Marriott franchise. The FDD provides a detailed breakdown of these costs to help potential franchisees assess the financial requirements and plan accordingly.