Hyatt Studios

The transfer fee of $100,000 significantly exceeds the typical range for hospitality franchises ($12,500-$50,000). What services or support justify this premium transfer fee, and is it negotiable?

Your technology fee of $3.9 monthly is substantially lower than the typical range of $147.5-$734.0. What technology services and systems are included, and are there any additional technology costs or requirements not reflected in this fee?

The franchise agreement specifies cure periods as short as 24 hours for public health/safety threats. Can you provide examples of what constitutes a public health/safety threat that would trigger this immediate termination right?

Under the renewal conditions, you require that franchisees 'substantially comply' with the agreement. How is 'substantial compliance' defined, and what specific violations would disqualify a franchisee from renewal?

The personal guarantee requires owners to assume personal liability for breach of 'every provision' of the franchise agreement. Are there any provisions you would consider waiving or limiting personal guarantee exposure for?

You initiated 1 litigation case in the past 3 years. What was the nature of this case, what was the outcome, and what does this indicate about your enforcement approach?

With a 20-year initial term and only 1 ten-year renewal option, how many franchisees have completed their initial term and pursued renewal? What percentage of eligible franchisees have renewed versus exited?

Territory is described as 'protected' but not 'exclusive.' What specific encroachment protections are in place, and under what circumstances might you allow another franchisee to operate within a protected territory?

The franchise fee is $50,000 with a $5,000 renewal fee. Does the renewal fee include updated training, new system technology, or rebranding, or is it primarily an administrative charge?

Given that the system currently has 0 units, how many units did you have 1, 3, and 5 years ago? What caused the transition to zero units, and what is your timeline for system expansion?

Your Contract Terms score of 60 is below the typical range of 68.0-80.0 for hospitality franchises. Which specific contract terms fall below industry standards, and are you open to negotiating these terms?

The Risk Factors score of 78 is above the typical range of 44.0-75.0. What specific risk factors contributed to this elevated score, and how do you mitigate these risks?

You do not provide Item 19 financial performance disclosures. Would you be willing to provide verified financial performance data from comparable units, and if not, how should prospective franchisees evaluate revenue and profitability expectations?

The franchise agreement allows termination with only 10 days to cure payment defaults. What happens if a payment is delayed due to a banking error or processing delay, and do you have a grace period policy?

With a 30-year total potential term (20 years initial + 10 years renewal), what happens if a franchisee wishes to exit before the initial term ends? Are there any early termination penalties or buyout options?

The non-compete clause shows 'N/A years / N/A miles.' Does this mean there is no non-compete restriction, or is the non-compete clause defined elsewhere in the franchise agreement?

Given your Support & Training score of 90 (above typical range), what specific training programs and ongoing support are included with the franchise, and what are the associated costs?

The litigation case you initiated—was it resolved, is it still pending, and what was the outcome or current status?

Renewal requires that franchisees meet 6 conditions including 'full compliance.' If a franchisee has minor violations that were cured, would this prevent renewal eligibility?

What is the current status of the franchise system? With zero units currently, are you actively recruiting franchisees, and what is your growth strategy for the next 1-3 years?