Suburban vs InterContinental Hotels Group Franchise Comparison

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

Start-Up Costs and Fees

 
Suburban Franchise
InterContinental Hotels Group Franchise
Investment $149,175 - $8,513,044$70,494,125 - $103,087,610
Franchise Fee $30,000$75,000
Royalty Fee 4%5%
Advertising Fee --
Year Founded 19861952
Year Franchised 19891954
Term Of Agreement 10 yearsVaries; avg. 10 years
Term Of Agreement 10 yearsVaries; avg. 10 years
Renewal Fee $30K or $225/roomVaries


Business Experience Requirements

 
Suburban Franchise
InterContinental Hotels Group Franchise
Experience
  • General business experience
  • -

    Financing Options

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

    Training & Support

     
    Suburban Franchise
    InterContinental Hotels Group Franchise
    Training - On-The-Job Training Classroom Training
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperativesMeetings/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, Regional advertisingCo-op advertising, Ad slicks, National media, Regional advertising
    Operations 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)

    1% of all franchisees own more than one unit

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


    Expansion Plans

     
    Suburban Franchise
    InterContinental Hotels Group Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion NoYes

    Company Overviews

    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.

    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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