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Howard Johnson

Hotels

Background

Founded: 1925 Franchising since: 1954
With a loan of $500, Howard Dearing Johnson purchased a small patent medicine shop in Quincy, Massachusetts, in 1925. He used an old-fashioned, hand-cranked freezer in the store's basement to make vanilla, chocolate and strawberry ice cream for the shop's soda fountain. Three years later, with menu additions like hot dogs and hamburgers, he opened the first Howard Johnson's Restaurant.

By 1935, there were 25 Howard Johnson ice cream and sandwich stands in Massachusetts. Five years later, with more than 100 restaurants on the Atlantic Coast, Johnson opened the first turnpike restaurant on the Pennsylvania Turnpike. In 1954, when the company operated 400 restaurants, the first Howard Johnson hotel opened in Savannah, Georgia.

After Johnson's son took over the company in 1959, it was subsequently acquired by three different companies before Cendant Corp. bought the hotel chain in 1990. Howard Johnson Int'l. franchises offer mid-priced lodging at Howard Johnson Plaza Hotels, Howard Johnson Hotels, Howard Johnson Inns and Howard Johnson Express Inns. Children stay free at Howard Johnson, and Road Rally and AARP offer senior discounts at the hotels.

22 Sylvan Wy.
Parsippany, New jersey 07054
Phone:
(800)758-8999


Franchise Growth
Year U.S. Franchises Canadian Franchises Foreign Franchises Company Owned
2009 348 56 71 0
2008 367 40 63 0
2007 370 42 56 0
2006 362 47 50 0
2005 361 48 49 0

Where Seeking Franchisees
In the U.S.
Worldwide

Exclusive territories available.

Costs and Fees

Total investment: $393.1K-7.3M
Franchise fee: $36K+
Ongoing royalty fee: 4%
Term of agreement: Term of agreement not renewable


Type of Financing Available
In-House Third Party
Franchise Fee No No
Startup Costs No No
Equipment No No
Inventory No No
Accounts Receivable No No
Payroll No No


Rankings

Franchise 500® rank:
#144 (2009); #161 (2008); #242 (2007); #258 (2006); #217 (2005);

America's Top Global Franchises:
#112 (2009); #149 (2008); #175 (2007); #191 (2006); #157 (2005);


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