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IHG (InterContinental Hotels Group)

2014 Franchise 500
#34
At a Glance

Products & Services: Hotels

Number of Locations: 4,704

Total Investment: $7.2M - $94M

Founded: 1952

Began Franchising: 1954

About IHG (InterContinental Hotels Group)

InterContinental Hotels & Resorts started abroad as a subsidiary of Pan American Airlines, which sold the company in the 1980s. In 1988, the U.K.-based brewery Bass purchased Holiday Inn International, which was founded and began franchising in the 1950s. The company has since sold the brewery and franchises nine hotel brands across six continents. Their hotel brands are Candlewood Suites, Crowne Plaza Hotels & Resorts, Even Hotels, Holiday Inn Hotels & Resorts, Holiday Inn Express, Hotel Indigo, Hualuxe Hotels & Resorts, InterContinental Hotels & Resorts, and Staybridge Suites.

Franchise Units

Year U.S. Canadian International Company Owned
2014 3,223 165 1,309 7
2013 3,230 164 1,245 9
2012 3,158 161 1,223 10
2011 3,119 157 1,186 12
2010 3,175 155 1,157 16
Where Seeking Franchisees: Franchisor is seeking new franchise units worldwide.
Direct Capital

Startup Costs, Ongoing Fees and Financing

Total Investment: $7,200,120 - $94,004,035
Franchise Fee: $50,000 - $75,000
Ongoing Royalty Fee: 5-6%
Term of Franchise Agreement: 20 years (average), renewable
Direct Capital
Financing Type In-House Third Party
Franchise Fee
Startup Costs
Equipment
Inventory
Accounts Receivable
Payroll

How This Franchise Supports Franchisees

Training: Available at headquarters: Varies. At franchisee's location: Varies.
Ongoing Support: Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations
Marketing Support: Co-op advertising, National media, Regional advertising,
Other marketing support: PR, loyalty program

Franchise Ranking History

Franchise 500®: #34 (2014), #42 (2013), #54 (2012), #28 (2011), #27 (2010),
Fastest-Growing: #33 (2014), #55 (2013), #18 (2010),
America's Top Global: #27 (2014), #25 (2013), #50 (2012), #26 (2011), #22 (2010),

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