SureStay Collection by Best Western

Item 7 lays out a hefty entry: $880,775 to $2,920,725 total investment, kicked off by a $25,000 franchise fee. Ongoing costs hit franchisees with 5% royalties plus $750-$786 monthly tech/support fees for a 100-room property (covering PMS, HMSS, etc.). No Item 19 means no official earnings claims, forcing reliance on external signals like 59 SBA loans averaging $2,699,056 with a solid 1.7% default rate—suggesting viable cash flow for those who secure financing. For hotel converters, this model skips new-build headaches but demands properties fitting lower-midscale vibes, from historic boutique stays to full-service with meetings.

Franchising since 2016, the system ballooned from 5 locations in 2024 to 13 in 2025 (+160%), now at 16 total, with 4 projected new units. Yet health metrics flash yellow: 1 termination and 1 transfer amid litigation over wrongful terminations and contract breaches like right-of-first refusal disputes. Low unit count after nearly a decade screams slow ramp-up, potentially diluting brand power versus giants. SBA strength bolsters confidence, but sparse footprint and legal noise question scalability—ideal for experienced operators eyeing conversions, risky for novices betting big without revenue transparency.