Free Hotel Franchise Agreement Template
Hotel Franchise Agreement
This Hotel Franchise Agreement ("Agreement") is made effective as of [Effective Date], by and between:
[Your Company Name]
[Your Company Address]
[Your Company Email]
[Your Company Number]
Hereinafter referred to as the "Franchisor",
and
[Franchisee Name]
[Franchisee Address]
[Franchisee Email]
[Franchisee Number]
Hereinafter referred to as the "Franchisee".
Background:
A. Franchisor is engaged in the operation of hotels under the trademark and trade name "[Your Hotel Brand]" and has developed a system for the operation of such hotels.
B. Franchisee desires to obtain a franchise from Franchisor to operate a hotel under the trademark and trade name "[Your Hotel Brand]" and to utilize Franchisor's system for the operation of such hotel.
Agreement:
1. Grant of Franchise:
Subject to the terms and conditions of this Agreement, Franchisor grants to Franchisee the non-exclusive right and license to operate a hotel under the trademark and trade name "[Your Hotel Brand]" at the location specified in Exhibit A (the "Premises"), and to utilize Franchisor's system for the operation of such hotel (the "Franchised Business").
2. Term:
The initial term of this Agreement shall be for a period of [10] years commencing on the Effective Date, unless sooner terminated in accordance with the terms hereof. Franchisee shall have the option to renew this Agreement for successive renewal terms of [5] years each, upon the terms and conditions set forth herein.
3. Fees:
In consideration of the rights and licenses granted hereunder, Franchisee shall pay to Franchisor an initial franchise fee of [$50,000] upon execution of this Agreement. Franchisee shall also pay to Franchisor ongoing royalty fees of [6]% of Gross Revenues and an advertising fee of [$1,000] per month.
4. Training and Assistance:
Franchisor shall provide Franchisee with [2 weeks] of initial training and assistance in the operation of the Franchised Business. Franchisee agrees to participate in such training programs and to operate the Franchised Business in accordance with Franchisor's standards and specifications.
5. Operations Manual:
Franchisor shall provide Franchisee with a copy of its operations manual (the "Manual"), which contains the policies, procedures, and specifications for the operation of the Franchised Business. Franchisee agrees to comply with the provisions of the Manual at all times.
6. Confidential Information:
Franchisee acknowledges that it will have access to certain confidential information of Franchisor, including but not limited to trade secrets, know-how, and proprietary information. Franchisee agrees to maintain the confidentiality of such information and not to disclose it to any third party.
7. Termination:
Either party may terminate this Agreement upon the occurrence of a material breach by the other party, subject to a cure period of [30] days. In addition, Franchisor may terminate this Agreement immediately upon written notice to Franchisee in the event of certain specified breaches.
8. Governing Law:
This Agreement shall be governed by and construed in accordance with the laws of the State of [Your State], without regard to its conflicts of law principles.
9. Entire Agreement:
This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior and contemporaneous agreements and understandings, whether written or oral, relating to such subject matter.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the Effective Date first above written.
[Your Company Name]
[Your Name]
[Your Title]
[Franchisee Name]
[Franchisee Name]
[Franchisee Title]
