Choice Hotels vs Red Lion Hotels and Inns Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Choice Hotels vs Red Lion Hotels and Inns including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
Choice Hotels Franchise
Red Lion Hotels and Inns Franchise
Investment $88,050 - $13,166,100$8,431,750 - $36,598,000
Franchise Fee $10,000 - $60,000$40,000 - $75,000
Royalty Fee Varies5%
Advertising Fee Varies3.5%
Year Founded 19391959
Year Franchised 19621999
Term Of Agreement 20 years-
Term Of Agreement 20 years-
Renewal Fee --


Business Experience Requirements
 
Choice Hotels Franchise
Red Lion Hotels and Inns Franchise
Experience
  • Industry experience
  • General business experience
    		• -

    Financing Options
     
    Choice Hotels Franchise
    Red Lion Hotels and Inns Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/Yes-/-
    Start-up Costs No/Yes-/-
    Equipment No/YesYes/-
    Inventory No/Yes-/-
    Receivables No/No-/-
    Payroll No/No-/-

    Training & Support
     
    Choice Hotels Franchise
    Red Lion Hotels and Inns Franchise
    Training - On-The-Job Training: Optional Classroom Training: Optional
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Field operations/evaluationsPurchasing 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 slicks, National media, Regional advertisingAd Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app
    Operations Franchisees required to buy multiple units/master licenses

    Absentee ownership of franchise is allowed.

    		-

    Expansion Plans
     
    Choice Hotels Franchise
    Red Lion Hotels and Inns Franchise
    US Expansion -Yes
    Canada Expansion No-
    International Expansion YesYes

    Company Overviews

    About Choice Hotels

    A group of Southern motel owners got together in 1939 to discuss the state of the lodging industry, hoping to do something to change the negative opinion the public had about motels (FBI director J. Edgar Hoover had warned that motels were used as bases of operations by gangsters). owners set about to create a set of quality standards for motels and agreed to publish the names of establishments that complied with these standards. In 1940, the group officially named itself Quality Courts United Inc. In 1990, Quality became known as Choice Hotels International Inc. The hotels in the chain now include Sleep, Comfort, Quality, Clarion, Rodeway, Econo Lodge and Cambria.

    "Top     ""
    #29 in Canada's Top franchises.


    About Red Lion Hotels and Inns

    Results Oriented. Growth Driven. With over 50 properties open or under development, Red Lion has positioned itself for sustainable growth. Important to the chain's lasting success is the redefinition of brand segmentation and strengthened brand identity for both Red Lion Hotels and Red Lion Inns & Suites, along with the addition of the Leo Hotel Collection, a collection of unique, boutique, historic and/or destination hotels. Publicly traded on the NYSE (RLH), Red Lion is an owner, operator and franchisor. Red Lion grew out of the Pacific Northwest with historic roots dating back more than 50 years and is showing hotel owners how they can tap into their deep experience. More hoteliers are finding that franchise partners with skin in the game truly have their franchisees' return on investment in mind. As owners, Red Lion never asks their franchisees to do anything that as a company they would not do for their own properties. The biggest benefit for hotel owners is the ability to plug their properties into a finely tuned franchise system that offers franchisees the highest level of support including access to industry leading technology, business intelligence and revenue management systems. With a keen eye on the market, Red Lion's new consumer website creates direct interaction with guests, offers local experiences and provides an improved booking engine. The locally inspired experience carries through to the service culture at the property and brings the website's local focus full circle, creating a impactful point of differentiation that helps build guest loyalty.

     Join a growing brand that takes pride in ownership too. Which Red Lion is right for you? If you are an owner of an independent hotel, or have a franchise agreement about to expire and would like to review franchise Opportunities, please contact: Mike Castro, Vice President Brand Services Red Lion Hotels Corporation 201 W North River Dr., Suite 100, Spokane, WA 99201 509-777-6326 (office) 509-464-9896 (mobile) 509-325-7324 (fax) [email protected] Steve KrebsSteve Krebs, Director, Lodging Development Red Lion Hotels Corporation 201 W North River Dr., Suite 100, Spokane, WA 99201 505-306-0073 (mobile) 509-325-7324 (fax) [email protected]

    The total investment necessary to begin operation of a 125-room Red Lion Inn & Suites Hotel with a minimal food and beverage offering is estimated to range between $8,431,750 to $12,448,000 for new development and $586,500 to $2,709,000 for conversion hotels. These amounts include $65,500 to $89,500 that must be paid to the franchisor. These amounts do not include the cost of purchasing or leasing land or any real estate taxes.
    The total investment necessary to begin operation of a 250-room full service Red Lion Hotel, including meeting space and catering service, is estimated to range between $28,594,750 to $36,598,000 for new development and $1,091,500 to $4,562,000 for conversion hotels. These amounts include $105,500 to $129,500 that must be paid to the franchisor. These amounts do not include the cost of purchasing or leasing land or any real estate taxes.