When is The Standardx PIP Preparation Fee due?

According to The Standardx's 2025 Franchise Disclosure Document, the PIP (Property Improvement Plan) Preparation Fee is due at the time you submit your franchise application and the Application Fee. This fee is nonrefundable and applies if you are converting an existing structure into a The Standardx branded hotel. The fee covers the cost for The Standardx to prepare the PIP, which details the improvements necessary to renovate the existing structure to meet The Standardx brand standards. The PIP Preparation Fee is $10,000.

For a prospective franchisee, this means that if you're planning to convert an existing building, you'll need to budget for this $10,000 fee upfront, along with the Application Fee, when you submit your application. It's important to note that this fee is nonrefundable, regardless of whether your application is approved or not. This is a common practice in franchising, as the franchisor incurs costs in evaluating the site and preparing the PIP.

Understanding the timing and non-refundable nature of this fee is crucial for managing your initial investment and cash flow. Franchisees should carefully consider the implications of converting an existing structure and factor in the cost of the PIP Preparation Fee when evaluating the overall financial feasibility of the franchise opportunity. It is also important to understand what the PIP will entail and the potential costs associated with the required renovations.