InterContinental Hotels Group vs The Red Collection Franchise Comparison

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

Start-Up Costs and Fees

 
InterContinental Hotels Group Franchise
The Red Collection Franchise
Investment $70,494,125 - $103,087,610$787,000 - $1,745,500
Franchise Fee $75,000$30,000
Royalty Fee 5%-
Advertising Fee --
Year Founded 19522017
Year Franchised 19542017
Term Of Agreement Varies; avg. 10 years-
Term Of Agreement Varies; avg. 10 years-
Renewal Fee Varies-


Business Experience Requirements

 
InterContinental Hotels Group Franchise
The Red Collection Franchise
Experience --

Financing Options

 
InterContinental Hotels Group Franchise
The Red Collection Franchise
  In-House/3rd PartyIn-House/3rd Party
Franchise Fees No/Yes-/-
Start-up Costs No/Yes-/-
Equipment No/Yes-/-
Inventory No/Yes-/-
Receivables No/Yes-/-
Payroll No/Yes-/-

Training & Support

 
InterContinental Hotels Group Franchise
The Red Collection Franchise
Training On-The-Job Training Classroom Training -
Support 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-
Operations 1% of all franchisees own more than one unit

Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators)

-

Expansion Plans

 
InterContinental Hotels Group Franchise
The Red Collection Franchise
US Expansion Yes-
Canada Expansion No-
International Expansion Yes-

Company Overviews

About InterContinental Hotels Group

InterContinental Hotels Group is a leading global hospitality group, with more than 3,500 hotels and 534,000 guest rooms across nearly 100 countries and territories. Every year more than 120 million people find a welcome at one of our lodging brands.

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"Entrepreneur
#483 in Franchise 500 for 2020.


About The Red Collection

"The
Red Roof® properties, including The Red Collection, consistently outperform in the economy market and have some of the lowest fees in the industry.

Red Roof is expanding internationally to Brazil, Canada, Thailand, and Japan as well as across the U.S.A.

The total investment necessary to begin operation of a hotel participating in The Red Collection franchise for a 65-room conversion hotel ranges from $787,000 to $1,745,500. These amounts do not include the cost of land or rent for the hotel location but do include the approximately $57,500 to $62,000 that must be paid to the franchisor or affiliate.