How is the fee for Services determined for The Standardx franchise, and how does it relate to the System Services Charges?

According to The Standardx's 2025 Franchise Disclosure Document, the fee for services is a portion of and included in the System Services Charges, as detailed in the Franchise Agreement. This fee is subject to change monthly, according to Section 6b of the agreement.

The System Services Charges are the amounts that the Hyatt Group charges the hotel for its share of the System Services Costs attributable to the System Services in which the hotel participates or is obligated to participate. These charges are periodically determined by the Hyatt Group.

System Services Costs encompass all costs actually incurred or properly accrued by any member of Hyatt Group during the determination period. These costs relate to providing System Services, including out-of-pocket expenses, employee costs, occupancy costs, capital costs, administrative expenses, carrying costs, and other costs incurred directly or indirectly. For a The Standardx franchisee, this means that the fees for services provided by Hyatt are embedded within the broader System Services Charges, which cover a wide range of operational and support costs. The franchisee's service fee can fluctuate monthly as the System Services Costs are reevaluated and allocated.