MAGNUSON HOTELS & MAGNUSON GRAND
Magnuson Franchising, LLC offers franchises to existing hotel owners to convert their independent hotels into branded Magnuson Hotels® or Magnuson Grand® properties, providing proprietary systems, standards, trademarks, and central reservation services. Their business model focuses on low-cost conversions rather than new builds, targeting incumbent hotel operators based on property size, location, amenities, and owner qualifications. They serve the hospitality market competing with national chains and independents, emphasizing marketing through approved channels and third-party distributors.
Franchise Costs
8% royalty + $100-$260/mo Airbnb connection fee + $250/mo minimum invoice revenue (deficiency if other fees < $250)
Financial Performance
Item 19 Financial Performance
This franchise did not provide Item 19 financial performance data.
Be careful if you are interested in investing. The lack of financial performance representations may indicate limited data or varying results across franchises.
Extracted Item 19 Section
How MAGNUSON HOTELS & MAGNUSON GRAND Compares
Key Insights
- Lower investment than 85% of Hotels franchises
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
MAGNUSON HOTELS & MAGNUSON GRAND Current | $175K – $400K | $10K | 8.0% | 11 |
| QUALITY INN | $317K – $2.0M | $45K | 5.3% | 1,621 |
| SUPER 8 | $4.7M – $6.9M | $25K | 5.5% | 1,375 |
| DAYS INN, DAYS HOTEL AND DAYS INN & SUITES | $7.6M – $9.4M | $35K | 5.5% | 1,235 |
| LA QUINTA INN & SUITES | $12.8M – $17.2M | $55K | 5.5% | 884 |
| RED ROOF PLUS AND SUITES | $7.3M – $8.9M | $27K | 5.0% | 584 |
Hotels Average 34 franchises | $7.8M – $18.0M | $46K | 5.2% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 34 Hotels franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
SBA Loan History
Historical SBA 7(a) loan data for MAGNUSON HOTELS & MAGNUSON GRAND franchisees (2015 – 2023)
Loans by Year
SBA 7(a) loan activity over time
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
10 franchisee contacts on file from official FDD filings.
| Name | SBA Loan |
|---|---|
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
John Smith ABC Franchise LLC | $350,000 2023 · Active |
10 Contacts Available
Unlock all MAGNUSON HOTELS & MAGNUSON GRAND franchisee contacts with verified contact information
Due Diligence
Litigation (Item 3)
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
The total initial investment to open a MAGNUSON HOTELS & MAGNUSON GRAND franchise ranges from $175,000 to $400,000. This includes a franchise fee of $10,000. Ongoing royalty fees are 8.0% of gross sales.
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Also includes FDDs for
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