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Updated RecentlyMotel 6 vs Starwood Hotels & Resorts Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Motel 6 vs Starwood 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 | $206,850 - $8,823,850 | $5,000,000 |
| Franchise Fee | $25,000 - $35,000 | N/A |
| Royalty Fee | 5% | - |
| Advertising Fee | 3.5% | - |
| Year Founded | 1962 | 1998 |
| Year Franchised | 1996 | 1998 |
| Term Of Agreement | 10-15 years | - |
| Term Of Agreement | 10-15 years | - |
| Renewal Fee | 50% of current franchisee 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/Yes | -/- |
| Start-up Costs | No/Yes | -/- |
| Equipment | No/Yes | -/- |
| Inventory | No/Yes | -/- |
| Receivables | No/No | -/- |
| Payroll | No/No | -/- |
Training & Support |
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| Training | On-The-Job Training: 25-30 hours Classroom Training: 40 hours Additional Training: Annual convention | - |
| Support | Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Proprietary Software Franchisee Intranet Platform | - |
| Marketing | Co-op Advertising Ad Templates National Media Social media SEO Website development Email marketing Loyalty program/app | - |
| Operations |
10% of all franchisees own more than one unit Number of employees needed to run franchised unit: 10 - 20 Absentee ownership of franchise is allowed. (70% of current franchisees are owner/operators)
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Expansion Plans |
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| US Expansion | - | - |
| Canada Expansion | No | - |
| International Expansion | Yes | - |
Company Overviews
About Motel 6
We'll Leave the Light on for You!
Thanks to one of the most successful ad campaigns in the history of the hotel industry, Motel 6 enjoys strong brand awareness and high guest loyalty. After more than 40 years, Motel 6 is still a true American icon and continues to outperform the competition.
Founded in 1962 in Santa Barbara, California, Motel 6 is synonymous with a great travel value. The first Motel 6 in Santa Barbara still leaves the light on today, but a lot has changed for the motel chain that pioneered the first real economy motel designed for the no-frills traveler.
The original price of a night's stay at Motel 6 was just $6.00, and thus established the brand name for an American classic.
The promise of the lowest price of any national chain and a clean, comfortable room are Motel 6 virtues. Motel 6 is a household name, synonymous with quality and value. It enjoys the highest brand recognition factor of any economy lodging brand.
The brand continues to grow and currently has approximately 1,200 locations with more than 120,000 rooms in the United States and Canada. Part of G6 Hospitality, Motel 6 is the largest owned and operated hotel chain in North America.
Veteran Incentives $1,500 for training
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#96 in Franchise 500 for 2020.
About Starwood Hotels & Resorts
Starwood Hotels & Resorts Worldwide, Inc. is one of the leading hotel and leisure companies in the world with more than 1,270 properties in some 100 countries and over 180,000 employees at its owned and managed properties. Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences under the renowned brands: St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Tribute Portfolio™, Four Points® by Sheraton, Aloft®, Element®, along with an expanded partnership with Design Hotels™. The Company also boasts one of the industry’s leading loyalty programs, Starwood Preferred Guest (SPG®).