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Below is an in-depth analysis and side-by-side comparison of Suburban vs Super 8 including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $149,175 - $8,513,044 | $233,200 - $4,834,492 |
Franchise Fee | $30,000 | $25,000 - $28,000 |
Royalty Fee | 4% | 5.5% |
Advertising Fee | - | 3% |
Year Founded | 1986 | 1974 |
Year Franchised | 1989 | 1976 |
Term Of Agreement | 10 years | 20 years |
Term Of Agreement | 10 years | 20 years |
Renewal Fee | $30K or $225/room | - |
Business Experience Requirements |
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Experience | Developer, owner, or real estate group with hospitality experience, credit and financial approval, and acceptable background check. | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | Yes/No |
Start-up Costs | No/No | Yes/No |
Equipment | No/No | No/Yes |
Inventory | No/No | Yes/Yes |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | - | A comprehensive suite of learning opportunities designed to help you run your business. Our hands-on curriculum includes: General Manager Orientation: Our GM orientation (Strategic Training for Exceptional Performance - S.T.E.P.) is a 5 day program which focuses on the brand tools and resources designed to optimize your business’s performance. We provide year round training to all owners and will tailor your training for your needs. On-The-Job Training: 3-4 days Classroom Training: 4 days Additional Training: Regional workshops; customized property training |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Franchisee Intranet Platform |
Marketing | Co-op advertising, Ad slicks, Regional advertising | Co-op Advertising National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app |
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) |
International franchisees required to buy multiple units/master licenses
Absentee ownership of franchise is allowed. |
Expansion Plans |
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US Expansion | Yes | Yes |
Canada Expansion | No | No |
International Expansion | No | Yes |
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.
Super 8's name is derived from its unique room rate- - $8.88 every night- - when the principal area opened in 1974 in Aberdeen, South Dakota.