Hospitality vs Suburban Franchise Comparison

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

Start-Up Costs and Fees

 
Hospitality Franchise
Suburban Franchise
Investment $133,600 - $2,602,000$149,175 - $8,513,044
Franchise Fee $5,000 - $15,000$30,000
Royalty Fee $35/rm/night4%
Advertising Fee --
Year Founded 19711986
Year Franchised 19821989
Term Of Agreement 5 years10 years
Term Of Agreement 5 years10 years
Renewal Fee -$30K or $225/room


Business Experience Requirements

 
Hospitality Franchise
Suburban Franchise
Experience -
  • General business experience

  • Financing Options

     
    Hospitality Franchise
    Suburban Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/NoNo/No
    Start-up Costs No/NoNo/No
    Equipment No/NoNo/No
    Inventory No/NoNo/No
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support

     
    Hospitality Franchise
    Suburban Franchise
    Training Classroom Training: 10.5 hours Additional Training: At regional training seminars -
    Support Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Ad Templates Regional Advertising Social media Website development Email marketing Co-op advertising, Ad slicks, 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)

    80% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 6 - 10

    Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)


    Expansion Plans

     
    Hospitality Franchise
    Suburban Franchise
    US Expansion YesYes
    Canada Expansion YesNo
    International Expansion YesNo

    Company Overviews

    About Hospitality

    Southern Scottish Inns Inc. and Red Carpet Inns Int'l. Inc. founded Hospitality Int'l. Inc. in 1982.

    "Entrepreneur
    #446 in Franchise 500 for 2020.

    About Suburban

    Suburban Extended Stay Hotel is Choice Hotels International's economy brand in one of the most desirable hotel segments today-extended stay. Suburban provides a simple solution for longer-term housing that's as pleasant as it is affordable. Value-conscious guests looking to stay for a day, a week, a month or longer enjoy just the right hotel amenities including well-equipped kitchens in all the rooms, weekly housekeeping, guest laundry, free cable TV and high speed Internet service. The flexible floor plan concept allows for conversions, easily adopting local market-driven design, guest room mix and suitable extended stay guest room features, along with an optional fitness center, meeting space or swimming pool.

    In 2015, Suburban brand hotels received an average of 63.6% of gross room revenue through the Choice Hotels Central Reservations System (CRS) and other Choice Hotels marketing channels.

    Suburban Extended Stay Hotel franchise is supported by a nationwide team of Area Directors (AD's) who provide local market assessments, pricing and rate structure support, and operational training. Dedicated, Extended Stay sales training provides the skills necessary to compete effectively in the local market. This support makes sure your hotel adheres to the extended stay business model for optimal performance.