MICROTEL INN & SUITES BY WYNDHAM

MICROTEL INN & SUITES BY WYNDHAM

Microtel Inn & Suites by Wyndham offers franchises for operating all-new construction economy/budget hotels featuring modern accommodations, compact guest rooms and/or one-room suites, and affordable room rates. Franchisees use the Microtel system, trademarks, and distinctive architectural design with efficient common areas and flexible floor plans to provide clean, comfortable lodging with interior corridor access. The business model targets budget-conscious travelers seeking consistent, value-oriented limited-service hotels in competitive hospitality markets.

285
Locations
$7200K–$9172K
Investment
Since 1995
Franchising
Hospitality & LodgingParsippany, NJWyndham Hotels & Resorts, Inc.development.wyndhamhotels.comDisclaimer

Franchise Costs


Franchise Fee
$40,000
Item 5 of FDD
Initial Investment Range
$7,200,444 $9,171,777
Low: $7,200,444High: $9,171,777
Item 7 of FDD
Royalty Rate
6.00%
of gross sales
Brand Fund
2.00%
Item 6 of FDD
Fixed Monthly Fees
$734 – $1,050
Item 6 of FDD

6% royalty + 2% ad fund + $734-$1,050/mo PMS monthly support and service fee

Financial Performance


Item 19 Financial Performance

Data Based On: The primary financial performance data for Average Daily Room Rate (ADR), Occupancy Rate, and Revenue Per Available Room (RevPAR), as well as RevPAR Index, is based on 'Qualified Chain Facilities'. The document states that 140 such facilities were included in the sample for the period January 1, 2024 through December 31, 2024. It is also explicitly stated that 'All the Chain Facilities were operated by franchisees during the period reflected in this Item 19'. The Central Reservation System and Wyndham Rewards Contribution data is based on a larger sample of 312 Chain Facilities, which are also confirmed to be franchised.

* The document provides financial performance representations in Item 19, including Average Daily Room Rate (ADR), Occupancy Rate, Revenue Per Available Room (RevPAR), RevPAR Index, and Central Reservation System/Wyndham Rewards contribution percentages. However, it does not explicitly state 'average gross revenue' or 'median gross revenue' in total dollar amounts per franchise unit over the reporting period. The ADR and RevPAR figures provided are rates per room or per available room, not the overall gross revenue generated by an individual franchise unit. Without information on the number of rooms per facility, it is not possible to derive total gross revenue per unit from the provided rates. Similarly, no explicit net income, net profit, or EBITDA figures (in dollar amounts or as a margin percentage) per franchise unit are provided. Therefore, all specific revenue, profit, and EBITDA fields are set to null as per instructions.

Extracted Item 19 Section

How MICROTEL INN & SUITES BY WYNDHAM Compares


Key Insights

  • Top 10 largest franchise system in Hotels
  • One of the lowest SBA loan default rates in Hotels
FranchiseInvestmentFeeRoyaltyLocations
MICROTEL INN & SUITES BY WYNDHAM
Current
$7.2M – $9.2M$40K6.0%285
QUALITY INN$317K – $2.0M$45K5.3%1,621
SUPER 8$4.7M – $6.9M$25K5.5%1,375
DAYS INN, DAYS HOTEL AND DAYS INN & SUITES$7.6M – $9.4M$35K5.5%1,235
LA QUINTA INN & SUITES$12.8M – $17.2M$55K5.5%884
RED ROOF PLUS AND SUITES$7.3M – $8.9M$27K5.0%584
Hotels Average
34 franchises
$7.8M – $18.0M$46K5.2%

* 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

Top States
1NC
23
2TX
22
3NY
21
4GA
19
5AL
14
6PA
14
7FL
12
8WV
10
9OH
10
10OK
9
11WI
8
12SC
8
13TN
8
14MN
8
15VA
7

+28 more states

SBA Loan History


Historical SBA 7(a) loan data for MICROTEL INN & SUITES BY WYNDHAM franchisees (20112025)

Total Loans
66
Average Loan
$2,680,015
Total Volume
$176.9M
Default Rate
0.0%

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


383 franchisee contacts on file from official FDD filings.

NameSBA 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

383 Contacts Available

Unlock all MICROTEL INN & SUITES BY WYNDHAM franchisee contacts with verified contact information

Due Diligence


Litigation (Item 3)

Franchisee Cases2

Primarily breach of contract and recurring fee collection disputes with franchisees or developers, including counterclaims alleging fraudulent inducement, misrepresentation, and violations of franchise laws.

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
11
Non-Renewals
0
Reacquired
0
Ceased Ops
9
Transfers
13
Sold to Franchisees
0
Projected New
17

Frequently Asked Questions


The total initial investment to open a MICROTEL INN & SUITES BY WYNDHAM franchise ranges from $7,200,444 to $9,171,777. This includes a franchise fee of $40,000. Ongoing royalty fees are 6.0% of gross sales.

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Also includes FDDs for

QUALITY INN
QUALITY INN
SUPER 8
SUPER 8
DAYS INN, DAYS HOTEL AND DAYS INN & SUITES
DAYS INN, DAYS HOTEL AND DAYS INN & SUITES
LA QUINTA INN & SUITES
LA QUINTA INN & SUITES
RED ROOF PLUS AND SUITES
RED ROOF PLUS AND SUITES
+1,700 more