Ramada Worldwide vs La Quinta Franchise Comparison

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

Start-Up Costs and Fees
 
Ramada Worldwide Franchise
La Quinta Franchise
Investment $220,731 - $9,291,313$3,822,657 - $12,901,630
Franchise Fee $35,000$55,000
Royalty Fee 4.5%4-4.5%
Advertising Fee 4%4.5%
Year Founded 19541968
Year Franchised 19902001
Term Of Agreement 15-20 years20 years
Term Of Agreement 15-20 years20 years
Renewal Fee --


Business Experience Requirements
 
Ramada Worldwide Franchise
La Quinta Franchise
Experience -
  • General business experience
    		•

    Financing Options
     
    Ramada Worldwide Franchise
    La Quinta Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/NoNo/No
    Start-up Costs Yes/NoNo/Yes
    Equipment Yes/NoNo/Yes
    Inventory Yes/NoNo/Yes
    Receivables Yes/NoNo/No
    Payroll Yes/NoNo/No

    Training & Support
     
    Ramada Worldwide Franchise
    La Quinta Franchise
    Training Regional workshops-
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluationsNewsletter, Meetings, Toll-free phone line, Internet, Field operations/evaluations, Purchasing cooperatives
    Marketing Co-op advertising, Ad slicks, National media, Regional advertisingCo-op advertising, Ad slicks, National media, Regional advertising
    Operations

    Number of employees needed to run franchised unit: 10 - 15

    Absentee ownership of franchise is allowed.

    		 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)

    Expansion Plans
     
    Ramada Worldwide Franchise
    La Quinta Franchise
    US Expansion --
    Canada Expansion NoNo
    International Expansion YesYes

    Company Overviews

    About Ramada Worldwide

    In 1954 a group of investors opened an inn in Flagstaff, Arizona, the first in a series of motor hotels to be opened by the group. Five years later, the chain was named Ramada, meaning 'a shaded resting place' in Spanish. Today Ramada, which has been owned by Cendant Corp. since 1997, operates hotels throughout the United States. The company is comprised of three segments, Ramada Inns, Ramada Limiteds and Ramada Plaza Hotels, serving value-conscious and mid-market travelers.

    Ramada Worldwide Inc. is a Delaware company, a backup of Wyndham Hotel Group, LLC, which is possessed by Wyndham Worldwide Corporation. They claim the exclusive Ramada System, giving transient visitor lodging administrations to the general population, including certain exchange names, benefit marks and other business images. They offer and bolster establishments for Ramada Chain visitor lodging offices.

    Establishment Offer: Qualified people are offered an establishment to work a Ramada Chain visitor lodging office at a solitary, characterized area. There are two distinct sorts of offices:

    1) A "Ramada" office offers agreeable alluring lodging at mid to upper mid-advertise rates in many markets, and has around 100 visitor rooms. A Ramada Facility highlights either a cordiality range with both relaxation seating and breakfast seating and administration territories and also a "Ramada Convenience Mart", or a full administration eatery and mixed drink relax. Ramada Facilities additionally have meeting rooms, ringer benefit upon demand, complimentary rapid web get to, clothing/valet benefit, a swimming pool and a wellness office.

    2) A "Ramada Plaza Hotel" office is an inside hall structure of no less than four stories. It by and large has no less than 150 visitor rooms, maybe a couple eateries, meal and meeting offices pleasing no less than 100 individuals, a mixed drink relax, a board room, swimming pool and practice offices, a business focus, a sundry shop, and chime, valet and room administrations.

    The total investment necessary to begin operation of a Ramada franchise for a new construction project ranges from the low end of $6,536,015 for a 100 room Ramada facility to the high end of $15,007,666 for a 150 room Ramada Plaza facility.
    The total investment necessary to begin operation of a Ramada franchise if you already own a facility typically ranges from the low end of $220,731 for a 100 room Ramada facility to the high end of $6,884,239 for a 150 room Ramada Plaza facility. Land acquisition costs are not included in these ranges. The above amounts include a range of $43,900 to $89,225 that must be paid to the franchisor or an affiliate.

    #276 in Franchise 500 for 2020.
    #368 in Franchise 500 for 2021.








    About La Quinta

    La Quinta is one of the fastest growing mid-scale hotels with properties across the US, Canada and Mexico. Our purpose is to provide a refreshing and engaging environment that builds long-lasting, valuable relationships with employees, guests, owners and partners. La Quinta is a proud participant in VetFran, and is honored to offer veterans of our armed forces great incentives and enhanced resources for becoming a part of the La Quinta family.
    Veteran Incentives: 50% off application/franchise fees; development incentive of up to $4,000/room

    The total investment necessary to begin operation of a La Quinta Inn & Suites franchise for a 109-room new construction facility ranges from $10,348,042 to $12,901,630, including $71,050 to $91,500 that must be paid to the franchisor or an affiliate.
    The total investment necessary to begin operation of a La Quinta Inn & Suites franchise for a 100-room conversion facility ranges from $3,822,657 to $6,101,522 including $66,100 to $86,550 that must be paid to the franchisor or an affiliate. Land acquisition and site preparation costs are not included in these ranges.

    "Entrepreneur

    #193 in Franchise 500 for 2020.
    #217 in Franchise 500 for 2021.