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Below is an in-depth analysis and side-by-side comparison of Embassy Suites Hotels vs AFM Hospitality Corporation including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $17,910,500 - $85,492,500 | $2,000,000 - $20,000,000 |
Franchise Fee | $75,000 | $35,000 |
Royalty Fee | 3.5% - 5.5% | 3% |
Advertising Fee | 4% | 4% |
Year Founded | 1983 | 1991 |
Year Franchised | 1984 | 1992 |
Term Of Agreement | 20 years | 5/5/5/5 Years |
Term Of Agreement | 20 years | 5/5/5/5 Years |
Renewal Fee | Same as initial fee | - |
Business Experience Requirements |
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Experience | - | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/Yes | -/- |
Start-up Costs | No/Yes | -/- |
Equipment | No/Yes | -/- |
Inventory | No/Yes | -/- |
Receivables | No/Yes | -/- |
Payroll | No/Yes | -/- |
Training & Support |
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Training | Classroom Training: 32-38 hours | On-Site 3-5 Days |
Support | Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform | Central Data Processing: Central Purchasing: Field Operation Evaluation: Field Training: Initial Store Opening: Franchisee Newsletter: Regional or National Meetings: 800 Telephone Hotline: |
Marketing | Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app | - |
Operations |
Number of employees needed to run franchised unit: 75 Absentee ownership of franchise is allowed. | - |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | - |
International Expansion | Yes | - |
AFM is dedicated to being the best in hospitality services, nationwide. Wherever possible, the services we provide have been centralized, allowing the company to capitalize on economies of scale. All brands receive full training, quality assurance and franchise service support provided by a team of industry experts. The growth strategy for the company has been developed by a team of professionals, each with a specific area of expertise in the hospitality trade.