Choice Hotels vs Suburban Franchise Comparison

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

Start-Up Costs and Fees
 
Choice Hotels Franchise
Suburban Franchise
Investment $88,050 - $13,166,100$149,175 - $8,513,044
Franchise Fee $10,000 - $60,000$30,000
Royalty Fee Varies4%
Advertising Fee Varies-
Year Founded 19391986
Year Franchised 19621989
Term Of Agreement 20 years10 years
Term Of Agreement 20 years10 years
Renewal Fee -$30K or $225/room


Business Experience Requirements
 
Choice Hotels Franchise
Suburban Franchise
Experience
  • Industry experience
  • General business experience

  • General business experience
    		•

    Financing Options
     
    Choice Hotels Franchise
    Suburban Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/YesNo/No
    Start-up Costs No/YesNo/No
    Equipment No/YesNo/No
    Inventory No/YesNo/No
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support
     
    Choice Hotels Franchise
    Suburban Franchise
    Training --
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Field operations/evaluationsNewsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Co-op advertising, Ad slicks, National media, Regional advertisingCo-op advertising, Ad slicks, Regional advertising
    Operations Franchisees required to buy multiple units/master licenses

    Absentee ownership of franchise is allowed.

    		 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
     
    Choice Hotels Franchise
    Suburban Franchise
    US Expansion -Yes
    Canada Expansion NoNo
    International Expansion YesNo

    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 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.