About SureStay Collection Franchise
SureStay Collection by Best Western is a hotel franchise brand within the Best Western International portfolio, offering a global collection of lower midscale and upper economy properties.
Franchising since 2016, the brand provides hotel owners with the opportunity to convert existing properties into SureStay Collection hotels, gaining access to the Best Western reservation system, brand recognition, and marketing support.
The initial franchise fee is $25,000.
SureStay Collection Franchise Cost & Fees
Minimum Investment
$902K
Average Investment
$1.9M
Maximum Investment
$3.0M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 | One-time payment upon signing |
| Royalty Fee | 5% of Monthly Gross Rooms Revenue of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Included in Monthly Fee, plus $250 annual OTA Marketing Fund Assessment | National brand fund |
| Total Investment Range | $901,750 – $2,951,015 | Includes build-out, inventory, working capital |
The investment range of $902K–$3.0M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Monthly Gross Rooms Revenue) and marketing fee (Included in Monthly Fee, plus $250 annual OTA Marketing Fund Assessment) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Application Fee (1) | $4,000 | $4,000 |
| Affiliation Fee (2) | $25,000 | $25,000 |
| Impact Study Fee (3) | $0 | $4,000 |
| Renovation Work (4) | $0 | $500,000 |
| Furniture, Fixtures and Equipment (5) | $0 | $1,300,000 |
| Inventory and Operating Equipment (6) | $75,000 | $150,000 |
| Signage (7) | $10,000 | $30,000 |
| Distribution System Photographs and Virtual Tours Fee (8) | $1,650 | $2,270 |
| Computer System (9) | $5,100 | $47,995 |
| Insurance (10) | $30,000 | $50,000 |
| Organizational Expense (11) | $1,000 | $2,000 |
| Permits and Licenses (12) | $0 | $5,750 |
| Miscellaneous Project Management Expenses (13) | $0 | $5,000 |
| Additional Funds (3 months) (14) | $750,000 | $825,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Technology Fee | $1,500 one-time, plus $41-$65/month (Two-Way Support) and $3.97/guest room/month (AutoClerk Cloud PMS) or $250/month (AutoClerk PMS) |
| Global Distribution Systems (GDS) Fee | $7.90 per booking. |
| Third-Party Internet Booking Fee | $4.60 per booking. |
| Third-Party Partner Booking Fee | $2.00 per booking. |
| Best Western Rewards® (BWR®) Fee | $0.0055 per BWR point issued. For newly enrolled Online Travel Agent (OTA) guests, the Hotel will be charged a flat fee of $2.75 for the 500 points issued to the guest. |
| BestCheque | $0.71 per commissionable transaction. |
| BestCheque Consortia | Fee of $3.00 per net room night reservation booked. |
| Travel Agent Commissions | Commission on Gross Room Revenue that varies by travel agent and agreement. |
| Performance Based Marketing | 10% of Gross Room Revenue for each reservation received from a digital opportunity. |
| Commission Junction | 10% of GRR for each reservation associated with a banner ad. |
| Travel Management Companies (TMC) | Varies by TMC; but generally annual participation fees are $350 - $1,100 per TMC, or Pay for Performance at $3.00 per consumed room night plus a 10% agency commission. |
| Group Commissions | As negotiated between the Hotel and client. 10% commission on Gross Room Revenue for HelmsBriscoe and HotelPlanner. |
| RFP Tool Fee | $120 per year. |
| BWI Groups RFP Tool Fee | $120 per year. |
| Annual Quality Assurance (QA) Assessment Fee | $2,100. Hotel is also required to provide a free room night to the QA inspector. |
| QA Reassessment Fee | $2,100, plus a free room night to the QA inspector. |
| Medallia Fee | $25 monthly usage fee. |
| Customer Care/First Contact Resolution (FCR) | $50.00 ticket fee charged on certain contacts. First 4 Complaints annually: Free. Complaints 5-10 annually: $100 Each. Complaints 11+ annually: $250 Each. Applicable taxes per file fee will be assessed plus cost of resolution. Non-FCR - $75 per non-response, plus cost of any compensation to customer. |
| Rate Parity | Administrative fees which range up to $4,000 per violation depending on the number of violations annually. |
| Online Travel Agency (OTA) Marketing Fund Assessment | $250 annual fee per System Hotel. |
| Service Charge | 1.5% of delinquent account balance assessed monthly (18% Annual Percentage Rate). |
| Liquidated Damages for Premature Termination | An amount calculated by taking the average of the prior 12 months of fees owed to us (but if fees have been owed to us for less than 12 months, the average of all prior months) and multiplying that average by the lesser of: (i) 12, or (ii) the remaining number of months in the Term. |
| Partner Forum (Optional) | $1,500 - $3,000. |
| Rate Shopping Service (Optional) | Varies depending on market but generally between $32 and $99 per month. |
| Revenue for Hire (RFH) Program (Optional) | Per month fee based on size of the Hotel: $995 for 1-120 rooms, $1,195 for 121-200 rooms, $1,395 for 201+ rooms. |
| Property Sales Management Program (Optional) | Monthly charge of $2,300 per System Hotel (or discount rate of $2,100 for the multi-properties). |
| Reservation Transfer Service Program (Optional) | Participating System Hotel: 3% commission per reservation booked with a cap of three (3) nights for a single reservation. Non-participating System Hotel: $5 for each call transferred. |
| High Speed Internet Access (HSIA) (Optional) | $65 per month for the first 50 rooms, and $1.25 per month for each additional room over 50 rooms, plus $1.50 per minute for HSIA support telephone calls. |
| Studio Design Services (Optional) | Per contract, determined by the scope of the project. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | None required |
| Classroom Training | None required |
| On-the-Job Training | None required |
| Training Location | None required |
| Additional Training | None required |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Not applicable |
| Description | Hotel Owners are granted the right to convert existing hotels at specified locations to System Hotels, meaning the franchisee already has the location. There is no minimum or exclusive territory granted. Franchisees may face competition from other franchisees, company-owned outlets, or other distribution channels and competitive brands controlled by the franchisor or its affiliates. The franchisor and its affiliates are not restricted from soliciting or accepting reservations from hotel guests located anywhere and do not pay compensation for such activities. Franchisees have no options, rights of first refusal, or similar rights to acquire additional franchises. The franchisor, Best Western International, and their affiliates operate various lodging properties that may compete with the franchisee's hotel, with no mechanism for resolving such conflicts. Relocation of the Hotel is not permitted. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years from activation |
| Renewal Term | Successive 5-year terms |
| Renewal Conditions | The term automatically renews for successive 5-year terms unless one party provides the other party with written notice of its intent not to renew at least 6 months before the end of the then-current term. Franchisees are not required to sign a new Distribution Agreement upon renewal. |
| Transfer Fee | $10,000 |
| Transfer Conditions | The Hotel Owner may not transfer or assign any interest in the Hotel or the Distribution Agreement, or fifty percent (50%) or greater of the ownership interests in Hotel Owner, or materially change the legal form of Hotel Owner, without the prior written consent of SureStay and the payment of a transfer fee. |
| Termination for Cause | The licensor can terminate the Distribution Agreement upon 30 days' notice with cause if the Hotel Owner does not cure a material breach within 15 days of receiving written notice of the cause (if the breach is capable of being cured). 'Cause' is defined as a party’s breach of a material term of the Distribution Agreement. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Whether an individual, corporation, limited liability company, partnership, or other entity, the Hotel Owner must at all times retain and exercise management control over the Property's business. This responsibility can be fulfilled by providing qualified and experienced management, which may be a management company or a full-time, dedicated, on-premises general manager. The General Manager does not need to have an equity interest in the Property or the Hotel Owner. Up-to-date contact information for the Management Company (if applicable) and the General Manager must be provided to the franchisor. |
| Required Suppliers | The franchisor requires franchisees to purchase or lease: (i) front entrance and front desk plaques; (ii) a license for the required PMS (currently AutoClerk Cloud PMS or AutoClerk PMS) from its affiliate, AutoClerk; (iii) two-way connectivity to its reservations systems; (iv) Hotel Managed Security Services (HMSS); and (v) Lodging Link, a product offered by Comtrol Corporation for PMS integration into other guest and hotel service systems. |
| Supply Restrictions | Except for the specified items, neither the franchisor nor any affiliate is an approved or sole supplier. Franchisees may obtain all other products and services from any source of distribution. The franchisor does not grant or revoke approval of any suppliers. |
| Franchisor Revenue from Suppliers | Neither SureStay, Inc. nor AutoClerk nor any other affiliates received revenue from selling required items to Hotel Owners in 2023. However, Best Western International (parent company) received approximately 8.7% margin from furniture, fixtures, and equipment suppliers and 2.9% commissions from direct order suppliers (e.g., guest room amenities, linens) based on purchases by BW Hotel Operators. In fiscal year 2023, Best Western International received $5.8 million (1.0% of its total revenue of $563 million) from vendors (commissions and rebates) related to purchases by BW Hotel Operators, which was used for the supply program's administration. The franchisor or an affiliate provides access to a procurement service, but there are no other purchasing or distribution cooperatives. The purchases and leases described are less than 1% of overall purchases for establishing a System Hotel and approximately 1%-2% for operating it. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | SureStay, Inc. and its affiliates do not offer direct or indirect financing, nor do they guarantee any franchisee's note, lease, or obligation. |
SureStay Collection Franchise Earnings — Item 19
SureStay Collection does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
SureStay Collection does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
SureStay Collection Litigation & Risk Flags
Clean Litigation RecordSureStay Collection has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
SureStay Collection System Growth
Total Units
0
Franchised
0
Company-Owned
0
SureStay Collection currently operates 0 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 0 | 0 |
| 2022 | 0 | 0 | 0 |
| 2023 | 0 | 0 | 0 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$537K
Net Income
$89K
Total Assets
$734K
Audited by Ernst & Young LLP for year ending November 30.
SureStay Collection Franchise — FAQ
The total investment to open a SureStay Collection franchise ranges from $901,750 to $2,951,015, per their Franchise Disclosure Document. This includes the initial franchise fee of $25,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
SureStay Collection charges a royalty fee of 5% of Monthly Gross Rooms Revenue of gross sales, plus a Included in Monthly Fee, plus $250 annual OTA Marketing Fund Assessment contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the SureStay Collection Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from SureStay Collection to ensure you have the most up-to-date version.
SureStay Collection does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
SureStay Collection has been franchising since 2016. The FDD shows an investment range of $901,750-$2,951,015, a 5% of Monthly Gross Rooms Revenue royalty, and no Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $25,000 and the total investment ranges from $901,750 to $2,951,015 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from SureStay Collection and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with SureStay Collection or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com