When is the $25,000 initial fee due for a Surestay Hotel By Best Western franchise?
Surestay_Hotel_By_Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Expenditure | Amount | Method of Payment | When Due | To Whom Payment is to be made |
|---|---|---|---|---|
| Franchise Application | $2,500 | Lump Sum | With Franchise | Us |
| Fee (1) | Application | |||
| Initial Fee (2) | $25,000 | Lump Sum | On Signing Franchise Agreement | Us |
| Impact Study Fee (3) | $0 - $4,000 | Lump Sum | Before Commission of Impact Study if Required | Us |
Source: Item 7 — Estimated Initial Investment (FDD pages 35–48)
What This Means (2025 FDD)
According to the 2025 Surestay Hotel By Best Western Franchise Disclosure Document, the initial franchise fee of $25,000 is due when the Franchise Agreement is signed. This fee is a lump sum payment made to the franchisor, Best Western. However, the initial fee will increase by $100 per guest room for hotels with over 100 guest rooms.
This initial fee is part of the estimated initial investment required to start a Surestay Hotel By Best Western franchise. Other fees include a franchise application fee of $2,500, and an impact study fee that ranges from $0 to $4,000. These fees, like the initial fee, are paid to Best Western.
Prospective franchisees should be aware of the payment schedule and ensure that they have sufficient funds available when signing the Franchise Agreement. Understanding when fees are due helps in financial planning and ensures a smoother onboarding process. It is also important to note that all amounts listed in the tables are non-refundable.