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Below is an in-depth analysis and side-by-side comparison of La Quinta vs Hilton Hotels & Resorts including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $3,822,657 - $12,901,630 | $30,581,105 - $128,987,095 |
Franchise Fee | $55,000 | $75,000 |
Royalty Fee | 4-4.5% | 5% |
Advertising Fee | 4.5% | 4% |
Year Founded | 1968 | 1919 |
Year Franchised | 2001 | 1965 |
Term Of Agreement | 20 years | 10 years |
Term Of Agreement | 20 years | 10 years |
Renewal Fee | - | Same as initial fee |
Business Experience Requirements |
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Experience | ||
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/Yes |
Start-up Costs | No/Yes | No/Yes |
Equipment | No/Yes | No/Yes |
Inventory | No/Yes | No/Yes |
Receivables | No/No | No/Yes |
Payroll | No/No | No/Yes |
Training & Support |
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Training | - | On-The-Job Training Classroom Training |
Support | Newsletter, Meetings, Toll-free phone line, Internet, Field operations/evaluations, Purchasing cooperatives | Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform |
Marketing | Co-op advertising, Ad slicks, National media, Regional advertising | Ad Templates National Media SEO Loyalty program/app |
Operations |
15% of all franchisees own more than one unit Number of employees needed to run franchised unit: 20 - 25
Absentee ownership of franchise is allowed. (98% of current franchisees are owner/operators) |
Number of employees needed to run franchised unit: 150 Absentee ownership of franchise is allowed. |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | No |
International Expansion | Yes | Yes |
Hilton is part of the portfolio of brands at Hilton Worldwide,
which has hotels in more than 90 countries. Other Hilton Worldwide
brands include Waldorf Astoria Hotels & Resorts, Conrad Hotels &
Resorts, DoubleTree by Hilton, Embassy Suites by Hilton, Hampton by
Hilton, Hilton Garden Inn, Homewood Suites by Hilton, Home2 Suites by
Hilton, Curio - A Collection by Hilton, Canopy by Hilton and Hilton
Grand Vacations.