How much does a Baymont Inn & Suites franchise cost?
The 2026 Baymont Franchise Systems, Inc. Franchise Disclosure Document gives two separate U.S. investment ranges: $7,813,734 to $10,776,122 for a 74-room new-construction facility, and $232,082 to $4,159,656 for a 100-room conversion facility. These are not interchangeable estimates. The new-build range excludes land, while the conversion range assumes the buyer already owns the hotel facility.
Both ranges come from the March 31, 2026 FDD, Item 7. Each total already includes three months of Additional Funds, but neither includes the cost of purchasing or leasing real estate. The conversion estimate assumes an existing hotel is already owned and its condition determines how much renovation, furniture, technology and inventory must be replaced.
Legal franchisor: Baymont Franchise Systems, Inc., a Delaware corporation and subsidiary of Wyndham Hotel Group, LLC. Document: U.S. FDD issued March 31, 2026. Formats analyzed: 74-room new construction and 100-room conversion. Primary cost sections: Items 5, 6 and 7, pages 30-55; financing and later obligations are drawn from Items 10, 11 and 17. Checked: July 20, 2026.
The official Baymont by Wyndham franchise page identifies new construction and conversion as the available development types and cites the March 31, 2026 FDD. The official page does not publish a public copy of that FDD, so FDD citations in this article are shown as unlinked Item and page references. The Wisconsin Department of Financial Institutions active-registration list currently shows Baymont Franchise Systems, Inc. with a March 31, 2027 registration expiration.
Why are the new-build and conversion ranges so far apart?
The new-construction estimate includes a complete hotel build, while the conversion estimate starts with an existing property and can be low only when that property's structure, systems, furniture and supplies already satisfy Baymont System Standards. Item 7 therefore treats the two formats as different capital contracts rather than two versions of one average project.
The bars use a common $0 to $10.78 million scale. Each teal segment begins at the disclosed minimum and ends at the disclosed maximum.
Source: 2026 Baymont FDD, Item 7, pages 47-55. Official low/high ranges are plotted; no midpoint, average or buyer-specific budget is used.
Baymont's conversion cost is primarily a property-condition question
A conversion can fall near the low end only when the existing hotel requires little or no architectural work, facility improvement, technology replacement, furniture replacement or inventory replacement. The high end assumes extensive renovations and broad replacement of operating assets.
Low-end conversion assumptions
Excellent physical condition, existing systems that meet standards, compliant furniture and fixtures, and only limited branded inventory purchases.
High-end conversion assumptions
Extensive structural work, replacement of technology systems, substantial FF&E replacement and full replacement of opening supplies and equipment.
The common scale runs from $0 to $2.25 million, the highest disclosed conversion-category amount.
Source: 2026 FDD, Item 7, pages 51-55. These are official category ranges for a 100-room conversion; the chart does not add the category maximums together.
The conversion minimum is not a general cash target for acquiring a hotel. It assumes the facility is already owned and largely compliant. A buyer should obtain the proposed Property Improvement Plan and map every required improvement to the Item 7 categories before treating the low end as relevant.
What is included in the initial investment?
Item 7 includes the Initial Fee, required opening services, premises work, technology, furniture, signage, opening inventory, insurance, launch expenses and three months of Additional Funds. The composition differs substantially by format, so each official range should be read with its own assumptions and exclusions.
What does the 74-room new-construction range contain?
The 2026 new-build total is driven mainly by Facility Construction, with meaningful amounts for Architecture, Design and Engineering, Construction Contingency, Furniture, Fixtures and Equipment, Opening Inventory, Pre-Opening Wages and Additional Funds.
Entry and required services
- Initial Fee
- $26,000
- Photos
- $2,750-$4,950
- Training Tuition
- $5,700-$7,200
- Training Expenses
- $3,200-$5,500
- Market Study
- $5,000-$15,000
Premises, systems and assets
- Architecture, Design and Engineering
- $237,935-$426,265
- Facility Construction
- $6,100,125-$8,406,630
- Construction Contingency
- $305,006-$420,332
- Technology Systems
- $53,349-$55,349
- Property Management Set-Up
- $6,000-$22,100
- FF&E
- $587,971-$605,514
- Signage
- $20,000-$80,000
- Opening Inventory
- $221,649-$243,704
Launch and initial operations
- Insurance
- $22,500-$80,000
- Grand Opening Advertising
- $3,000-$15,000
- Pre-Opening Wages
- $83,293-$148,888
- Miscellaneous Non-Tangible Asset Costs
- $19,196-$37,035
- Additional Funds, three months
- $111,060-$176,655
New-build exclusion: Item 7 lists Real Estate and Site Preparation as not applicable and states that the total excludes purchasing or leasing real estate. A 74-room facility generally needs at least two acres, but the FDD provides no land price. Source: 2026 FDD, Item 7, pages 47-51. The official Wyndham new-hotel development page describes the broader construction-support context but does not replace the Baymont Item 7 amounts.
What does the 100-room conversion range contain?
The 2026 conversion table includes the same core franchise and operating categories, but the low and high amounts depend on how much of the existing hotel can remain in place. Facility Improvements alone range from $0 to $2,250,000.
| Conversion expenditure | Low | High | Main timing |
|---|---|---|---|
| Initial Fee, including Application Fee credit | $26,000 | $26,000 | Application and signing |
| Photos, Training Tuition and Training Expenses | $7,400 | $15,650 | Before and after opening |
| Temporary Signage | $0 | $1,250 | Before opening, if required |
| Architecture, Design and Engineering | $0 | $172,500 | Before opening |
| Facility Improvements and Conversion Contingency | $0 | $2,362,500 | Before opening |
| Technology Systems and PMS Set-Up | $7,500 | $93,732 | Before opening |
| FF&E, Signage and Opening Inventory | $37,489 | $1,198,647 | Before opening |
| Insurance, Grand Opening Advertising and Miscellaneous Costs | $32,877 | $102,966 | Before opening |
| Additional Funds for three-month initial period | $120,816 | $186,411 | After opening |
| Total Estimated Initial Investment | $232,082 | $4,159,656 | Excludes real estate |
The grouped rows above are derived additions of compatible Item 7 line items and are shown only to reduce table size; the official total remains the controlling figure. The conversion FDD table assumes the buyer already owns the facility. Source: 2026 FDD, Item 7, pages 51-55. The official Wyndham conversion page likewise directs prospects to the applicable brand's Item 7 for detailed cost ranges.
Additional Funds are already included in both Item 7 totals. Adding the three-month working-capital range again would double-count it. The amount includes labor and Recurring Fees after opening, but excludes debt service and rent; the FDD does not state that owner compensation is included.
When is the money paid?
Baymont's cost obligations begin at application, accelerate through signing and pre-opening work, and continue after opening through training, photography, Additional Funds and monthly Recurring Fees. The sequence matters because the Item 7 total is not one check paid on one date.
Pay the non-refundable $2,500 Application Fee. If the application is approved, Baymont credits it against the Initial Fee.
Pay the remaining Initial Fee. The formula is the greater of $26,000 or $260 per guest room; for the 74-room and 100-room Item 7 examples, the Initial Fee is $26,000.
Pay architecture, construction or improvements, contingency, FF&E, signage, inventory, insurance, permits, professional fees and other third-party costs as incurred before opening.
Pay the one-time PMS Set-Up and Implementation Fee: $6,000 for SynXis or $11,000-$22,100 for OPERA, plus applicable interface costs.
Pay applicable photos and training charges, incur the Additional Funds budget and begin Recurring Fees on the Opening Date. For an acquired operating facility, Recurring Fees begin on acquisition or possession, whichever occurs first.
Royalty and System Assessment Fees are due monthly by the third day of the following month. Other technology, reservation, loyalty, conference, inspection and compliance charges are invoiced according to their disclosed triggers.
Source: 2026 FDD, Items 5-7, pages 30-55, and Item 11, pages 64-72. Under the FTC Franchise Rule, the FDD generally must be delivered at least 14 calendar days before a binding agreement or payment; the FTC's FDD review guidance explains that timing and the purpose of the disclosure.
Which fees continue after opening?
The two principal Recurring Fees are a 5% Royalty Fee on Gross Room Revenues and a 3.5% System Assessment Fee on Gross Room Revenues. The System Assessment may be raised on 30 days' notice but cannot exceed 6% of Gross Room Revenues. Several additional charges depend on reservations, loyalty-program activity, technology selection or optional services.
Which other mandatory or transaction-based fees are material?
Baymont's Item 6 fee structure extends beyond the Royalty Fee and System Assessment Fee. The following charges are material because they recur, scale with reservation activity or are tied to required programs.
| Fee | Amount or basis | Timing | When it applies |
|---|---|---|---|
| BAYMA Marketing and Sales Co-op Fee | $1 per room per month; maximum $2,400/year | Annually in advance | Mandatory Baymont Management Association participation |
| Continuing Education | $1,200/year | When invoiced | Mandatory training access and materials |
| GDS, Third Party Channel and Internet Booking Fees | $2.34 per reservation for each applicable channel | When invoiced | Reservations booked through the specified distribution channel |
| Wyndham Connect Plus Fee | 3.5% of GRR for each reservation booked through the service | When invoiced | Required program |
| Loyalty Program Charge | 4.25%-5.5% of amounts on which members earn points or other program currency | After points are awarded and invoiced | Applicable Wyndham Rewards member stays |
| Digital Pay-For-Performance Commission | Currently 7%; up to 10% of GRR | When invoiced | Consumed reservations generated through covered digital links or call numbers |
| PMS Monthly Support and Service Fee | $734-$1,050/month, or $13.25 per room/month for OPERA Cloud Premium | Monthly | Required PMS support level |
| Chain Conference Fee | $2,000 first attendee; $1,750 each additional attendee | Before conference | Attendance is required; currently held about every 18-24 months |
Source: 2026 FDD, Item 6, pages 33-47. These percentages use only the disclosed fee bases; no annual dollar estimate is implied.
Which fees depend on a service choice, booking source or operating event?
Conditional charges can be substantial even though they do not apply uniformly to every hotel. The trigger, fee basis and contract language should be checked against the buyer's proposed property and service selections.
Agency Commissions: up to 20% of Gross Room Revenues on qualifying consumed reservations; Agency Commission Service Charge: 1.5% of commissionable revenue; Member Benefits Commissions: up to 10% of Gross Room Revenues plus a 1.5% service charge; Everyone Sells Group Referrals Program: 10% of commissionable revenue.
Standard RMS: 0.75% of Gross Room Revenues, minimum $645 and maximum $1,395 per month; Premium RMS: 1% of Gross Room Revenues, minimum $1,450 and maximum $2,450 per month, or $3,500 where annual Gross Room Revenues are at least $3,000,000; Premium Plus RMS: $5,425 per month; Remote Sales Service: $1,500 per month.
RevIQ Premium: $28 per month; Mobile Operations Program: $0.60 per guest room per month; Emergency Safety Device for MOP users: $35 per month. PMS interfaces range from $525 to $3,050, including a required $750 RevIQ Standard interface for OPERA. The FDD states that future required PMS upgrades may carry additional fees.
Missed Valid Enrollment Fee: currently $750 per quarter or $250 per month, with a stated maximum of $1,200 per quarter or $400 per month; Loyalty Member Services Administration Fee: $50 per complaint; Wyndham Response Fee: $0-$15 per response; Best Rate Guarantee Processing Fee: $195 per transaction; Customer Care Program: resolution costs.
Standard photo package: $2,750, plus $225 for each additional photo; Rooms Addition Fee: $260 per added guest room; Custom Interior Design Review Fee: currently $6,000; Property Improvement Plan Preparation Fee: $1,500 per request; Global Translation Fee: $200 per additional language. A non-approved vendor requesting specifications for a required room-package component may be charged up to $15,000.
General Manager Certification: $2,250; additional attendee: $1,400; on-site Opening Training: $750 for 0-50 rooms, $2,250 for 51-200 rooms and $3,750 for more than 200 rooms, plus facilitator travel and lodging; Remedial Training: up to $1,250; Product Quality Training: $1,500-$5,000 depending on duration; missed training may trigger a No-Show Fee of 50%-100% of the training cost. An optional 30-day job posting is currently $100.
If an acquired Chain Facility's existing PMS meets current requirements and no upgrade is needed, the transfer fee is $995. Optional remote recertification is $500; additional training may cost up to $5,000 for SynXis or $10,000 for OPERA, plus trainer travel and lodging when applicable.
The ongoing cost contract cannot be reduced to 8.5% of Gross Room Revenues. Royalty and System Assessment total 8.5% at current rates, but reservation, loyalty, technology, training, conference and event-triggered fees can apply in addition. The buyer should model each fee from the actual PMS, distribution channels and service agreements selected for the hotel.
Does Baymont disclose a liquid-capital or net-worth requirement?
The 2026 FDD and the current official Baymont franchise page do not disclose a fixed minimum Liquid Capital or Net Worth threshold. That absence does not mean the project can be financed without substantial equity. Development Incentive applicants must provide a current balance sheet, loan documents, total project cost, amount financed and equity investment information, and significant owners generally guarantee franchise obligations.
What financing does the franchisor disclose?
Baymont states that it does not generally offer financing except for a discretionary Initial Fee deferral and discretionary Development Incentives for new-construction and conversion facilities.
| Financing arrangement | Key amount or term | Payment or repayment trigger | Important limitation |
|---|---|---|---|
| Initial Fee deferral | Some or all of the Initial Fee; usually up to 90 days or opening, whichever occurs first | Per the Initial Fee Note; full payment may be accelerated on termination or transfer | Discretionary; owners and some spouses must co-sign |
| Development Incentive | Transaction-specific loan, typically funded after opening | Forgiven over the Franchise Agreement term; unamortized balance becomes repayable on early termination or transfer | Discretionary and subject to final credit review and opening conditions |
| Development Incentive Acceleration Fee | 10% of the unamortized incentive balance | Added when early termination or transfer makes the balance due | Default interest may then apply at 18% per year or the maximum lawful rate |
| Women Own the Room Development Incentive | Target $2,500 per guest room, not above 50% of the franchisee's equity investment | Same forgiveness and repayment structure as other Development Incentives | Majority legal and beneficial ownership must be held by women; approval is discretionary |
The official Women Own the Room page describes the program's capital and operational support. The official BOLD program page describes tailored capital and operational support for qualifying Black owners; the FDD states that BOLD support may include a Development Incentive under the same core terms. Neither program guarantees approval or replaces the buyer's required equity and third-party financing.
What costs can arise after the hotel opens or changes hands?
Transfer, relicense, property-improvement, technology-upgrade, inspection, default and termination obligations can create costs outside the opening budget. These amounts should be separated from the Item 7 investment because they arise only when a later event or compliance issue occurs.
The current Relicense Fee is the greater of $26,000 or $260 per guest room, plus the $2,500 Application Fee. A transferee must sign the then-current Franchise Agreement and may need to improve the hotel to conversion standards. An Administrative Assignment is $5,000 including the Application Fee; an assignment to a financial institution or court-appointed receiver is $7,500 including the Application Fee.
The Franchise Agreement provides no renewal or extension right. If Baymont and the franchisee both elect to continue, the franchisee must sign the then-current agreement and pay the then-current Relicense Fee, currently calculated under the Initial Fee formula.
Baymont may require Property Improvement Plan work, replacement hardware or software, PMS upgrades and revised System Standards. The FDD states there is no contractual limit on the cost or frequency of required computer hardware or software replacement.
Extension Fee: $10,000; Reinspection Fee: $3,000-$5,500 plus inspector travel, lodging and meals; Reconnection Fee: $4,000; Preventative Maintenance service: up to $1,500 per year when the disclosed quality trigger applies.
Interest is the lesser of 1.5% per month or the maximum lawful rate; returned check fee is $100; paper check fee is $160; audit costs become payable when the understatement is at least 3% over a six-month period. Baymont also invoices applicable sales, gross-receipts, value-added, use or similar taxes assessed on Recurring Fees and basic charges.
Liquidated Damages generally use the greater of $2,000 per authorized guest room or a formula based on average monthly Royalty and System Assessment Fees, subject to remaining term and pre-opening adjustments. Failure to complete de-identification can trigger $2,000 per day. Development Incentive repayment and the 10% Acceleration Fee may also apply.
A condemnation can require Recurring Fees through the contractual notice period. The Franchise Agreement also can require reimbursement of indemnified claims, enforcement expenses, reasonable attorneys' fees and other dispute-resolution costs when the stated conditions apply.
Source: 2026 FDD, Items 5, 6, 10 and 17, pages 30-47, 61-64 and 83-88. The FTC's Consumer's Guide to Buying a Franchise explains why the attached agreements and all 23 FDD Items should be reviewed before money is committed.
What should a buyer verify before relying on the official range?
The Item 7 totals are useful boundaries, but several locally determined or contract-dependent costs remain unresolved. A buyer should reconcile the proposed site, Property Improvement Plan, supplier quotes and financing documents against the same 2026 FDD before treating either range as sufficient capital.
Real estate: confirm land purchase, ground lease or hotel-acquisition cost separately. Neither Item 7 total includes purchasing or leasing real estate.
Local development charges: identify impact fees, site-evaluation fees, geotechnical reports, civil engineering and local signage taxes or permits, which the FDD excludes from specified categories.
Freight, tax and installation: obtain final vendor quotes for FF&E and Operating Supplies and Equipment because the relevant Item 7 estimates exclude some taxes, freight and installation.
Insurance scope: the Item 7 estimate does not include workers' compensation, employer's liability, business interruption or other policies beyond the listed coverages.
PMS and interfaces: confirm the selected SynXis or OPERA level, required interfaces, monthly support, optional RevIQ or MOP services and future upgrade obligations.
Conversion condition: obtain the final Property Improvement Plan and determine whether existing structure, FF&E, technology, signage and opening inventory meet current System Standards.
Additional Funds: verify the three-month operating assumptions, noting that Item 7 includes labor and Recurring Fees but excludes rent and debt service.
Current disclosure: request the most recent FDD and quarterly updates before signing. The FTC Franchise Rule requires a 23-item disclosure document and permits prospects to request the most recent version and updates.
What is the practical capital takeaway?
A Baymont Inn & Suites project requires more than the Initial Fee. The 2026 FDD places a 74-room new build at $7,813,734 to $10,776,122 before land, and a 100-room conversion at $232,082 to $4,159,656 before real estate acquisition or lease cost. The most consequential uncertainty is format-specific: construction cost dominates the new build, while the existing property's required improvements and asset replacement dominate the conversion. Liquid Capital and Net Worth minimums are not publicly fixed in the verified sources, and ongoing fees extend beyond the 5% Royalty Fee and 3.5% System Assessment Fee.
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