Under what condition is an impact study required for a Surestay Hotel By Best Western?
Surestay_Hotel_By_Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
If upon receipt of your Franchise Application a Member requests an impact study, you will be required to pay us the Impact Study Fee so that we can conduct an impact study.
If we deny your Franchise Application for any reason, we will refund the Impact Study Fee to you.
Source: Item 7 — Estimated Initial Investment (FDD pages 35–48)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, an impact study for a Surestay Hotel By Best Western is required if a member requests one upon receiving a franchise application. The franchisee is responsible for paying the Impact Study Fee to Surestay Hotel By Best Western so that the study can be conducted. The Impact Study Fee ranges from $0 to $4,000. This fee is paid in a lump sum before the impact study is commissioned.
If Surestay Hotel By Best Western denies the franchise application for any reason, the Impact Study Fee will be refunded to the applicant. This refund policy mitigates some of the financial risk associated with the application process.
Impact studies are used in the franchise industry to assess the potential effect of a new franchise location on existing franchisees in the area. This helps to ensure that new locations do not cannibalize sales from existing ones, maintaining the overall health of the franchise system. The franchisor determines whether or not the impact study is required.