QUALITY INN
Choice Hotels International, Inc. franchises mid-scale hotels under the QUALITY INN brand family, including QUALITY INN, QUALITY INN & SUITES, QUALITY SUITES, QUALITY HOTEL, and QUALITY RESORT, providing comfortable accommodations with amenities like free breakfast, high-speed internet, in-room coffee, and personal service. The business model supports both new construction and conversion of existing hotels into franchised properties. It targets business and leisure travelers seeking value-oriented, mid-scale lodging options.
Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.
Overview
Financial Requirements
5.25% royalty + 3.5% marketing & reservation fee + $519-$855/mo choiceADVANTAGE support + $235-$360/mo ChoiceMAX + $60/mo CrowdStrike + $60/mo CHOC dues + $18/mo ECM
Franchise Stats
Financial Performance
Item 19 Financial Performance
Data Based On: 1,528 franchised QUALITY hotels that were open and operating as of December 31, 2024 and met the definition of the Performance Sample.
* The document provides performance metrics such as Average Occupancy Rate, Average Daily Rate (ADR), and Revenue Per Available Room (RevPAR) for franchised hotels, along with contribution percentages. However, it does not provide the total gross revenue per franchise unit (hotel) in dollar amounts. RevPAR and ADR are per-room metrics, and without additional data like the average number of rooms per hotel, it is not possible to derive average gross revenue per unit. Furthermore, the document explicitly states that the financial performance representations do not reflect costs of sales, operating expenses, or other costs/expenses required to obtain net income or profit. Therefore, net income, net profit, EBITDA, and profit range estimates cannot be determined from the provided information.
Extracted Item 19 Section
How QUALITY INN Compares to Other Hotels Franchises
Key Insights
- Lower investment than 76% of Hotels franchises
- #1 largest franchise system in Hotels
- Lower than average SBA loan default rate in Hotels
| Franchise | Investment Range | Franchise Fee | Royalty | Locations |
|---|---|---|---|---|
QUALITY INN Current | $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 |
| BAYMONT INN & BAYMONT INN & SUITES | $7.6M - $10.5M | $26K | 5.0% | 547 |
Hotels Average 33 franchises | $8.1M - $18.5M | $46K | 5.2% | - |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 33 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
+35 more states
SBA Loan History
Historical SBA 7(a) loan data for QUALITY INN franchisees (2010 - 2025)
Loans by Year
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
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Due Diligence
Litigation (Item 3)
Primarily franchisor-initiated actions to recover unpaid royalties, liquidated damages, fees, and other debts from franchisees and former franchisees; franchisee-initiated claims alleging breach of contract, fraud, misrepresentation, discriminatory and anti-competitive practices, misuse of fees and data, and violations of franchise laws; includes class actions and arbitrations.
Bankruptcy (Item 4)
No bankruptcy history reported in the FDD.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
How much does it cost to open a QUALITY INN franchise?
The total initial investment to open a QUALITY INN franchise ranges from $316,945 to $2,045,895. This includes a franchise fee of $45,000. Ongoing royalty fees are 5.3% of gross sales.
How many QUALITY INN franchise locations are there?
As of the 2025 FDD, QUALITY INN has 1,621 franchise locations. The company has been franchising since 1968.
Can you get an SBA loan for a QUALITY INN franchise?
Yes, SBA loans are available for QUALITY INN franchises. Historical data shows 799 SBA 7(a) loans have been approved for QUALITY INN franchisees, with an average loan amount of $2,491,532. The historical default rate is 1.3%.
Is QUALITY INN a good franchise to buy?
QUALITY INN shows several positive indicators: established brand with 1,621+ locations, transparent financial performance data (Item 19), low SBA loan default rate. However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.
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