The Best Western franchise in the Lodging category. This report analyzes the full Franchise Disclosure Document including unit economics, fee structure, growth trends, and risk indicators to help you evaluate the cost of investing in Best Western.
Composite quality score based on growth, stability, efficiency, fees, transparency, and system size.
Financial Performance Representations not disclosed by this franchisor
Approximately 40% of franchisors choose not to include Item 19 financial performance data in their FDD. This does not necessarily indicate poor performance -- it simply means the franchisor has elected not to disclose this information.
Automated risk indicators based on FDD data analysis.
Franchise unit trajectory based on FDD Item 20 data.
| Year | Start | Opened | Closed | Transferred | End | Closure Rate | Net Growth |
|---|---|---|---|---|---|---|---|
| 2022 | 0 | -- | -- | 0 | 0 | -- | -- |
| 2023 | 0 | -- | -- | 0 | 0 | -- | -- |
| 2024 | 0 | +4 | -- | 0 | 4 | -- | -- |
How Best Western compares to peer brands in the Lodging category.
Ratio = Investment midpoint ÷ median annual revenue. Lower is better. A 0.5x ratio means the initial investment equals half of one year's gross revenue. Does not account for operating costs, margins, or time value of money.
| Brand | Total Units | Investment Range | Median Revenue | Royalty | Inv/Rev Ratio |
|---|---|---|---|---|---|
| Holiday Inn / Holiday Inn Express | 2847 | $956K – $1.18M | No Item 19 | 5.0% | -- |
| Hampton Inn | 1294 | -- | No Item 19 | -- | -- |
| Hilton Garden Inn | 747 | $21.93M – $32.38M | No Item 19 | 5.5% | -- |
| Marriott Hotel / JW Marriott Hotel | -- | $93.91M – $168.94M | No Item 19 | 6.0% | -- |
| Unscripted by Hyatt | -- | $1.02M – $11.81M | No Item 19 | 5.0% | -- |
| Super 8 | -- | -- | No Item 19 | -- | -- |
| Days Inn | -- | $7.61M – $9.41M | $50 | 5.5% | 170582.4x |
| La Quinta Inn & Suites | -- | -- | No Item 19 | -- | -- |
| Comfort Inn / Comfort Suites | -- | $319K – $2.35M | No Item 19 | 6.0% | -- |
| Motel 6 | -- | $195K – $8.24M | $39 | 5.0% | 107365.2x |
SureStay, Inc. offers the right to convert an existing hotel to a System Hotel that utilizes the 'SureStay Collection by Best Western' name and reservation systems. These hotels are a global collection of lower-midscale and upper economy hotels ranging from full-service properties with meeting facilities to smaller, uniquely designed select service hotels.
Franchisees do not receive any minimum or exclusive territory. The franchisor and its affiliates may compete with the franchisee in their area, and there is no mechanism for resolving conflicts between the franchisee's hotel and other properties owned or licensed by the franchisor or its affiliates.
Item 3 discloses several concluded actions. SureStay, Inc. settled a wrongful termination suit for $125,000 and a right of first refusal dispute for $165,000. Parent company Best Western International has been involved in numerous concluded cases related to membership terminations, fee collections, and state regulatory actions regarding the franchise status of its memberships in states like North Dakota, California, Maryland, Washington, and Virginia.
Audited financial statements from the franchisor's FDD (Item 21). These show the financial health of the franchisor entity, not individual franchise units.
| 2022 | 2023 | 2024 | |
|---|---|---|---|
| Total Revenue | $493,880,000 | $534,398,000 | $520,942,000 |
| Royalty Revenue | $0 | $0 | $0 |
| Franchise Fee Revenue | $276,766,000 | $293,536,000 | $292,244,000 |
| Total Expenses | $389,711,000 | $444,642,000 | $488,712,000 |
| Operating Income | $104,169,000 | $89,756,000 | $32,230,000 |
| Net Income | $88,079,000 | $89,319,000 | $65,388,000 |
| 2022 | 2023 | 2024 | |
|---|---|---|---|
| Total Assets | $651,515,000 | $733,837,000 | $816,099,000 |
| Total Liabilities | $504,772,000 | $502,000,000 | $516,372,000 |
| Total Equity | $146,743,000 | $231,837,000 | $299,727,000 |
| Cash & Equivalents | $239,426,000 | $161,159,000 | $162,790,000 |
| Current Ratio | 1.80x | 1.23x | 1.25x |
| Debt-to-Equity | 3.44x | 2.17x | 1.72x |
| 2022 | 2023 | 2024 | |
|---|---|---|---|
| Operating | $102,770,000 | $102,477,000 | $65,101,000 |
| Investing | ($119,761,000) | ($180,515,000) | ($62,803,000) |
| Financing | $12,515,000 | $679,000 | ($944,000) |
| Net Change | ($4,476,000) | ($77,359,000) | $1,354,000 |
Key terms extracted from FDD Items 8-18. Click each section to expand.
Franchisor Financing Available: False
Details: SureStay, Inc. and its affiliates do not offer direct or indirect financing, nor do they guarantee any notes, leases, or obligations.
Pre Opening Assistance:
Ongoing Assistance:
Training Program:
Initial Training Hours: 0
Location: N/A
Description: Because the license is for an existing operating hotel, the franchisor does not require or provide any training prior to activation or any on-going or refresher training.
Exclusive Territory: False
Territory Description: Franchisees do not receive any minimum or exclusive territory. The right granted is to convert an existing hotel at a specified location.
Can Franchisor Compete: True
Online Sales Rights: The franchisor and its affiliates are not restricted from soliciting or accepting reservations from guests located anywhere via the Internet, catalog sales, telemarketing, or other direct marketing.
The principal Licensed Marks include 'SureStay Collection' and 'SureStay Collection by Best Western', which are registered on the Principal Register of the USPTO and licensed to the franchisor by its parent, Best Western International, Inc.
No patents or pending patent applications are material. The franchisor claims copyrights in the Distribution Agreement, brand identity standards, and advertising/marketing materials. These materials contain trade secrets.
The owner must retain and exercise management control but is not required to be a full-time operator; this can be fulfilled by a management company or a full-time, dedicated, on-premises general manager.
No restrictions on customers. Franchisees must use required reservation systems and provide room rates/plans equal to or better than those offered through other channels. They must provide amenities and breakfast consistent with brand standards.
Term Length Years: 10 years (ending Dec 31st of the 10th anniversary year)
Renewal Conditions: Automatically renews for successive 10-year terms unless either party provides written notice of intent not to renew at least 6 months prior to the end of the term. No new agreement is required upon renewal.
Termination For Cause Conditions:
Transfer Conditions: Requires prior written consent from the franchisor and payment of a $10,000 transfer fee.
Non Compete Post Termination:
Duration: N/A
Radius: N/A
Scope: None disclosed; non-competition covenants are listed as 'Not applicable'.
None
Required Suppliers:
Purchasing Cooperatives: None currently; however, the franchisor or an affiliate provides access to a procurement service.
Notes: Collectively, required purchases and leases are less than 1% of the overall cost to establish a System Hotel and approximately 1% - 2% of the cost to operate one.
Franchisees are obligated to handle site selection, pre-opening purchases, training, opening, fee payments, compliance with brand standards and policies, trademark usage, insurance maintenance, advertising, indemnification, owner participation, and reporting. They must also comply with post-termination obligations and dispute resolution procedures.
Contact information for current and former franchisees as disclosed in the FDD.
| Name | Location | Phone | Territory |
|---|---|---|---|
| The Glendale Inn LLC (Contact: Hamir Bansal) | Glendale, AZ 85308-8615 | (623) 412-2000 | The Hotel Serene Glendale Peoria, Surestay Collection by BW |
| Ville 810 LLC (Contact: Erick Hunsaker) | Tucson, AZ 85713-5024 | (520) 355-8900 | The Kennedy Tucson, SureStay Collection by Best Western |
| Joseph James Perillo Sr | Chicago, IL 60612-3208 | (312) 243-2900 | Hotel Chicago West Loop, SureStay Collection by Best Western |
| Laxmi of Leesville, LLC (Contact: Mayur Patel) | Leesville, LA 71446-5847 | (337) 239-2122 | Express Inn Leesville Ft Johnson, SureStay Collection by BW |
| DMMI Associates LLC (Contact: Jeffrey Kolessar) | Romulus, MI 48174 | (734) 721-3315 | Skyline Hotel Detroit Airport, SureStay |
SBA 7(a) loan approvals for Best Western franchisees from the SBA FOIA public dataset. Lenders report franchise codes at origination — this is real lending activity, not estimates.
Source: SBA FOIA 7(a) public data. Franchise codes matched by brand name. Not all SBA loans are captured; some franchisees finance without SBA programs.
Other franchise brands with similar characteristics you may want to consider.
See how Best Western stacks up against similar franchise brands side by side.
Leave your details and we'll notify you when we add new data for Best Western — including updated FDD extractions, revenue comparisons, and market analysis.
You're on the list.
We'll be in touch when new data is available.