15 frequently asked questions answered with data from the 2024 Franchise Disclosure Document.
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The total initial investment to open a Holiday Inn/Holiday Inn Express/Holiday Inn Resort franchise ranges from $12.5M to $29.6M (2024 FDD). This includes the franchise fee, equipment, build-out, inventory, and working capital needed before opening.
View full investment analysisThe initial franchise fee for Holiday Inn/Holiday Inn Express/Holiday Inn Resort is $65K (2024 FDD). This one-time fee is paid to the franchisor when signing the franchise agreement and covers the right to use the brand, systems, and initial training.
View full investment analysisData sourced from the Holiday Inn/Holiday Inn Express/Holiday Inn Resort 2024 Franchise Disclosure Document (FDD). Always review the most current FDD and consult with a franchise attorney before making investment decisions.
Yes, a Holiday Inn/Holiday Inn Express/Holiday Inn Resort franchise requires a physical location (2024 FDD). Franchisees will need to lease or purchase commercial real estate, which is a significant component of the total investment.
View full investment analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort charges a royalty fee of 5.0% of gross sales (2024 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.
View full fees analysisThe total ongoing fee rate for a Holiday Inn/Holiday Inn Express/Holiday Inn Resort franchise is approximately 8.0% of gross sales (2024 FDD). This includes the royalty fee, a 3.0% marketing/advertising fund contribution, a $17.06/month technology fee, and other recurring charges.
View full fees analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort has been involved in 15 litigation cases over the past 3 years (2024 FDD). There are currently 10 pending cases. There is at least one class action lawsuit pending.
View full litigation analysisNo, the Holiday Inn/Holiday Inn Express/Holiday Inn Resort franchisor has no bankruptcy filings in their disclosure history (2024 FDD).
View full litigation analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort offers non-exclusive territory rights to its franchisees (2024 FDD). The franchise agreement does not include encroachment protection. Online sales rights are shared between the franchisor and franchisee.
View full territory analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort currently operates 2,847 locations (2024 FDD) (2,846 franchised, 1 company-owned). The system grew by 0.8% over the past year. The 3-year compound annual growth rate is 0.4%.
View full growth analysisThe 1-year franchisee turnover rate for Holiday Inn/Holiday Inn Express/Holiday Inn Resort is 0.9% (2024 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.
View full growth analysisThe initial franchise agreement term for Holiday Inn/Holiday Inn Express/Holiday Inn Resort is 20 years (2024 FDD). Franchisees can renew 0 times for 0-year periods. The total potential term is 20 years.
View full contract analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort's post-termination non-compete clause restricts former franchisees from operating a competing business for 0 years within 0 miles of the former location (2024 FDD).
View full legal analysisNo, Holiday Inn/Holiday Inn Express/Holiday Inn Resort's franchise agreement does not require mandatory arbitration (2024 FDD). Disputes may be resolved through litigation.
View full legal analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort provides 208 hours of initial training over approximately 2 weeks (2024 FDD). The cost of training is covered by the franchisor (travel and lodging are typically the franchisee's responsibility). Ongoing field support is provided on a annual basis.
View full support analysisHoliday Inn/Holiday Inn Express/Holiday Inn Resort does not provide site selection assistance (2024 FDD). Franchisees are responsible for finding and securing their own location. The franchisor also provides technology support and systems.
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