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THE UNBOUND COLLECTION BY HYATT

Other · independent · est. —

The Unbound Collection by Hyatt is a soft-brand collection for independent upper-upscale and luxury hotels that join Hyatt's reservation and loyalty systems. A franchisee owns and operates a distinctive hotel that retains its own name and character while paying brand fees for distribution.

THE UNBOUND COLLECTION BY HYATT net unit count grew +12.5% from 20232025 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Too new to judge

Distress

0
STABLE

10 franchised units over 3 disclosed years is not a track record — systems this early have realized only a fraction of their eventual failures. Judge the disclosures, not a verdict.

Exit rate · latest year

10.0%

fiscal 2025, per Item 20

Cost to open

$70.4M–$125.2M

Item 7 total investment range

SBA loan defaults

No loan record

no SBA 7(a)/504 loans found for this brand

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Strong
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Fair
Transfer / churn15%

transfers vs. base · Table 3

Fair
Promise-keeping10%

actual vs. projected openings · Table 5

Fair
Transparency15%

Item 19 disclosure + completeness

Strong

Systemwide units

2023–2025

+12.5%
162023182024182025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 1 of 10 franchised outlets left the system — a 10.0% annualized exit rate. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202320242025
Outlets at start131618
Opened221
Transfers100
Terminations001
Non-renewals000
Reacquired by franchisor000
Ceased — other reasons000
Outlets at end161818
Net change+3+20

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $100K franchise fee (Item 5) and a total investment of $70.4M–$125.2M (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.

To open (Item 7)

$70.4M–$125.2M

all-in investment range

Franchise fee (Item 5)

$100K

upfront, one-time

Royalty (Item 6)

7%

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — cross-check against this brand's Item 19 and current-owner validation.

Royalty you'd pay / yr

$70K

7% of sales, before profit

Over a 10-yr term

$700K

royalties alone, excl. ad fund

This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.

Build a real pro-forma for THE UNBOUND COLLECTION BY HYATT with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for THE UNBOUND COLLECTION BY HYATT. That's a good sign — but it reflects news coverage, not a guarantee.

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THE UNBOUND COLLECTION BY HYATT franchise questions, answered from the filings

What percentage of THE UNBOUND COLLECTION BY HYATT franchises closed last year?

In THE UNBOUND COLLECTION BY HYATT's latest FDD Item 20 (fiscal 2025), 1 of 10 franchised outlets left the system — an annualized exit rate of 10.0%. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a THE UNBOUND COLLECTION BY HYATT franchise cost?

Per THE UNBOUND COLLECTION BY HYATT's 2026 FDD, buying in requires an initial franchise fee of $100K (Item 5) and a total initial investment of $70.4M–$125.2M (Item 7).

What royalty does THE UNBOUND COLLECTION BY HYATT charge?

THE UNBOUND COLLECTION BY HYATT charges an ongoing royalty of 7.0% of gross sales, per Item 6 of its 2026 FDD.

Does THE UNBOUND COLLECTION BY HYATT disclose earnings (Item 19)?

Yes — THE UNBOUND COLLECTION BY HYATT makes a financial performance representation in Item 19 of its 2026 FDD. Read it closely: franchisors choose which units and which metrics to include.

Is THE UNBOUND COLLECTION BY HYATT a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk