Suburban vs The Red Collection Franchise Comparison

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

Start-Up Costs and Fees
 
Suburban Franchise
The Red Collection Franchise
Investment $149,175 - $8,513,044$787,000 - $1,745,500
Franchise Fee $30,000$30,000
Royalty Fee 4%-
Advertising Fee --
Year Founded 19862017
Year Franchised 19892017
Term Of Agreement 10 years-
Term Of Agreement 10 years-
Renewal Fee $30K or $225/room-


Business Experience Requirements
 
Suburban Franchise
The Red Collection Franchise
Experience
  • General business experience
    		• -

    Financing Options
     
    Suburban Franchise
    The Red Collection Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/No-/-
    Start-up Costs No/No-/-
    Equipment No/No-/-
    Inventory No/No-/-
    Receivables No/No-/-
    Payroll No/No-/-

    Training & Support
     
    Suburban Franchise
    The Red Collection Franchise
    Training --
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives-
    Marketing Co-op advertising, Ad slicks, 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)

    		-

    Expansion Plans
     
    Suburban Franchise
    The Red Collection Franchise
    US Expansion Yes-
    Canada Expansion No-
    International Expansion No-

    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 The Red Collection

    "The
    Red Roof® properties, including The Red Collection, consistently outperform in the economy market and have some of the lowest fees in the industry.

    Red Roof is expanding internationally to Brazil, Canada, Thailand, and Japan as well as across the U.S.A.

    The total investment necessary to begin operation of a hotel participating in The Red Collection franchise for a 65-room conversion hotel ranges from $787,000 to $1,745,500. These amounts do not include the cost of land or rent for the hotel location but do include the approximately $57,500 to $62,000 that must be paid to the franchisor or affiliate.