When are revenue management fees due for The Standardx, if participating in the program?
The_Standardx Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of expenditure | Amount | Method of Payment | When due | To whom payment is to be made |
|---|---|---|---|---|
| Application Fee (1) | $95,000 to $145,000 | Lump sum | Upon signing franchise application | Us |
| Comfort letter fee(s) | $0 to $2,500 | Lump sum | When your lender(s) sign a comfort letter with us | Us |
| Alternative Design | $0 to $30,000 | As agreed | As incurred | Us |
| Review Fee | ||||
| Extension of opening deadline | $0 to $10,000 | As agreed | When you request extension of Hotel opening deadline | Us |
| IT Project Management Services fee and expense reimbursement | $64,995 to $69,630 | As agreed | Before the Hotel opens | Us |
| Signage | $65,000 to $100,000 | As agreed | As incurred | Suppliers |
| Telecommunications systems, security system and Technology System equipment and fees (2) | $638,600 to $777,650 | As agreed | As incurred | Suppliers and Hyatt Corporation |
| Column 1 Type of expenditure | Column 2 Amount | Column 3 Method of Payment | Column 4 When due | Column 5 To whom payment is to be made |
| Architecture and design | $537,500 to $1,950,000 | As agreed | As incurred | Architects, engineers, designers and other professionals |
| Construction, improvements, remodeling, decorating costs and other sitework | $21,875,000 to $67,500,000 | As agreed | As incurred | General contractor, suppliers and us or our affiliate |
| Furniture, fixtures, other fixed assets and equipment (3) | $3,375,000 to $12,000,000 | As agreed | As incurred | Suppliers |
| Operating supplies & | $625,000 to | As agreed | As incurred | Suppliers |
| equipment (4) | $2,700,000 | |||
| Fire and life safety | $15,000 to | As agreed | As incurred | Suppliers |
| consultation | $30,000 | |||
| General and administrative buildout costs (5) | $320,000 to $500,000 | As agreed | As incurred | Third parties |
| Revenue management fees (6) | $0 to $17,500 | As agreed | Monthly, if you participate in the revenue management program | Us |
Source: Item 7 — ESTIMATED INITIAL INVESTMENT (FDD pages 36–40)
What This Means (2025 FDD)
According to The Standardx's 2025 Franchise Disclosure Document, revenue management fees are due monthly if a franchisee participates in The Standardx's revenue management program. These fees can range from $0 to $17,500. The fees are paid to The Standardx, as agreed upon in the franchise agreement.
It is important to note that participation in the revenue management program is optional. The FDD also indicates that these fees cover the pre-opening period and the first three months of operation. This suggests that the revenue management program is designed to help new The Standardx franchisees establish their business and optimize revenue generation from the outset.
Prospective franchisees should carefully consider the costs and benefits of participating in the revenue management program. While the fees can add to the initial investment, the program may provide valuable support and expertise in maximizing revenue. Franchisees should discuss the program in detail with The Standardx to determine if it is a good fit for their individual circumstances and business goals.