|
Below is an in-depth analysis and side-by-side comparison of Hospitality vs InterContinental Hotels Group including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
||
Investment | $133,600 - $2,602,000 | $70,494,125 - $103,087,610 |
Franchise Fee | $5,000 - $15,000 | $75,000 |
Royalty Fee | $35/rm/night | 5% |
Advertising Fee | - | - |
Year Founded | 1971 | 1952 |
Year Franchised | 1982 | 1954 |
Term Of Agreement | 5 years | Varies; avg. 10 years |
Term Of Agreement | 5 years | Varies; avg. 10 years |
Renewal Fee | - | Varies |
Business Experience Requirements |
||
Experience | - | - |
Financing Options |
||
In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/Yes |
Start-up Costs | No/No | No/Yes |
Equipment | No/No | No/Yes |
Inventory | No/No | No/Yes |
Receivables | No/No | No/Yes |
Payroll | No/No | No/Yes |
Training & Support |
||
Training | Classroom Training: 10.5 hours Additional Training: At regional training seminars | On-The-Job Training Classroom Training |
Support | Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations | Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform |
Marketing | Ad Templates Regional Advertising Social media Website development Email marketing | Co-op advertising, Ad slicks, National media, Regional advertising |
Operations |
50% of all franchisees own more than one unit Number of employees needed to run franchised unit: 15 Absentee ownership of franchise is allowed. (80% of current franchisees are owner/operators) |
1% of all franchisees own more than one unit
Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators) |
Expansion Plans |
||
US Expansion | Yes | Yes |
Canada Expansion | Yes | No |
International Expansion | Yes | Yes |