Motel 6 Franchise Analysis

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Motel 6 is a Franchise Grade Made The Grade™ franchise, which means it's ranked highly by our analysts.

Franchise Info

How much does an Motel 6 business cost to open?

Motel 6 has an initial franchise fee of up to $25,000, with a overall initial investment range of $2,389,600 to $3,454,000.

  • Initial Franchise Fee: $25,000
  • Total Investment: $2,389,600 to $3,454,000
  • Working Capital: $55,000 to $70,000
  • Royalty Fee: 5.0%

The initial cost of any franchise opportunity includes many fees. Explore this investment opportunity to better understand the initial costs required to buy an Motel 6, such as franchise fees, leasehold improvement costs, grand opening marketing, and furniture and fixtures purchases. It should be noted that, franchisors are required to disclose all initial fees. These fees include those that are actually paid when signing the franchise agreement and commitments to fees you are required to pay.

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How much does an Motel 6 owner make?

As with any new business, the franchise owner's salary and the profits from a Motel 6 business depends on a lot of different factors. One way to validate the potential revenues or profits earned from a Motel 6 franchise investment is to review the franchisor's Item 19 within their Franchise Disclosure Document. Typically, profits and owner's income are equitable to the size of the investment and number of locations you purchase. Demand for your products, your labor costs, commercial lease rates and several other variables also play a huge role in your profit margin and your personal salary

For additional information and franchise specific on the profits of an Motel 6 franchise opportunity, unlock this franchise

How many franchise locations does Motel 6 franchise system have?

As of the 2016 Franchise Disclosure Document, there are 736 franchised Motel 6 locations across the United States.

Did you know there are over 3,000 franchise opportunities across the United States. More than 80% have less than 10 locations.

Are there any Motel 6 franchise opportunities near me?

Based on 2016 FDD analysis, Motel 6 has franchised locations in 48 states. There may be no locations in several states as each franchise company plans their growth strategy differently. Specific states also require franchise companies to register their franchise opportunity and file their Franchise Disclosure Document (FDD) with state examiners prior to offering franchise opportunities to residents in that state. These registration states have examiners review a franchisor's FDD to ensure it satisfies state regulatory requirements. In addition to registration states, additional states have enacted supplemental franchise or business opportunity laws that require franchise companies to provide their franchise within the state. In most instances the filing is a notice within the state. Unlike franchise registration states, the franchise filing states do not examine a franchisor's FDD.

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Based on the data collected this franchise opportunity is growing into new locations and might be available in your city.

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Last Reviewed: 2016

Sector: Lodging

Category: Hotel

Motel 6 Franchise INFORMATION

Total Investment
$2,389,600 - $3,454,000
Franchise Fee
$25,000
Franchise agreement
Initial Term
20 Years
Renewal Term
10 Years
Franchise outlet growth
2013
557
2015
736
Ongoing fees
Royalty
5.0%
ad fees
3.5%
# of franchised outlets
736

EXTRA INFORMATION

Do they provide any initial training and opening assistance?

Yes, they have an initial training program of 46 hours. This includes 30 hours of classroom training, 16 hours of on-the-job training, and N/A hours of online training. In their FDD they outline who's in charge of the training. Unlock to find out more.


Online N/A
On-the-Job 16
Classroom 30
Total 46

Do they provide Territory Rights?

Motel 6 offers territory protections. For an explanation of territory rights, unlock this franchise for important details.

Do they have marketing and technology support in place?

Yes, Motel 6 offers comprehensive support for franchisees. Unlock this franchise to find out more.


How long ago did Motel 6 start franchising?

They began franchising in 1962. The average Hotel franchise began franchising in 1991.


Do they offer lending options?

No, but you can click here to fill out our affordability calculator and understand your financing options.

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  • What are the historical franchisee earnings?
  • Do they provide Veteran or First Responder discounts?
  • Do they use public figures to promote their franchise?
  • Do they disclose any bankruptcies?
  • Are they affiliated with any other franchise brands or private equity investment groups?
  • How many new outlets have they opened in the last 5 years?
  • How many franchised outlets have closed in the last 5 years?
  • How many new outlets have they sold in the last 5 years?
  • How many franchised outlets have terminated in the last 5 years?
  • Do they operate any corporate or affiliate owned outlets?
  • How long is their initial and renewal term lengths?
  • How do they solve franchise disputes?
  • How long has the franchisor been in business?
  • Are they expanding internationally?
  • How are the royalty, advertising and marketing funds administered and managed by the franchisor?
  • How are territories defined?
  • What is the role of technology in the operation of the franchise?
  • Why has new franchise outlet growth been so low?
  • What are the critical requirements for operating a successful franchised location in this system?
  • Are you required to work in the outlet or is this a passive investment opportunity?
  • Do they offer multi-unit discounts for buying more than one franchise location?
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