Hotel Revenue & Management Blog

What is the meaning / definition of Franchisor in the hospitality industry? A person or company that grants a franchise to an individual, group or business through an agreement. Their role consists of providing everything necessary for the franchisee to operate their business accordingly to the franchisee agreement. A franchisor generally provides a brand, marketing operational procedures and more allowing [...]

What is the meaning / definition of Franchisee in the hospitality industry? The Individual, group or business that possesses or operates a franchise under an agreement with a franchisor. Being a Hotel Franchise Company can allow business owners to start a business according to a tested methodology. This provides many benefits as well as some tradeoff compared to starting a [...]

What is the meaning / definition of Franchise Fee in the hospitality industry? The Franchise Fee or cost is an initial payment that a franchisee makes towards his franchisor in order to join the franchise. Only when the Franchise Fee has been paid in full, the franchisee may begin operations as a franchise, and the franchise agreement is officially valid. [...]