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Entrepreneur: Start & Grow Your Business

Ramada

Hotels

Background

Founded: 1954 Franchising since: 1990
In 1954 a group of investors opened an inn in Flagstaff, Arizona, the first in a series of motor hotels to be opened by the group. Five years later, the chain was named Ramada, meaning "a shaded resting place" in Spanish.

Today Ramada, which has been owned by Cendant Corp. since 1997, operates hotels throughout the United States. The company is comprised of three segments, Ramada Inns, Ramada Limiteds and Ramada Plaza Hotels, serving value-conscious and mid-market travelers.

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

Franchisee Association
Ramada Inns National Association

Franchisor is a publicly-held company with 33 employee(s)

Franchise Growth
Year U.S. Franchises Canadian Franchises Foreign Franchises Company Owned
2009 547 64 283 0
2008 555 63 247 0
2007 584 62 213 0
2006 634 62 190 0
2005 725 68 192 0

Where Seeking Franchisees
In the U.S. Alaska, Alabama, Arkansas, Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Iowa, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Maine, Michigan, Minnesota, Missouri, Mississippi, Montana, Nebraska, North carolina, North dakota, New hampshire, New jersey, New mexico, Nevada, New york, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode island, South carolina, South dakota, Tennessee, Texas, Utah, Virginia, Vermont, Washington, Wisconsin, West virginia, Wyoming
Worldwide

Exclusive territories available.
Territory size: Varies

Special Programs
Since 1994 Ramada has supported Childreach, an organization that works to improve the lives of children around the world.

Costs and Fees

Total investment: $402.5K-11.7M
Franchise fee: $36K+
Ongoing royalty fee: 4%
Term of agreement: 15-20 years


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

Qualifications
Business Experience:
  • General business experience

Operations
  • 5% of all franchisees own more than one unit
  • Number of employees needed to run franchised unit: 10 - 15
  • Absentee ownership of franchise is allowed.

Training and Support

Training
  • Available at headquarters: 5 days
  • At franchisee's location: 2 days
  • Regional workshops, property training : 1-3 days

Ongoing Support
  • Newsletter
  • Meetings
  • Toll-free phone line
  • Grand opening
  • Internet
  • Security/safety procedures
  • Field operations/evaluations
  • Purchasing cooperatives

Marketing Support
  • Co-op advertising
  • Ad slicks
  • National media
  • Regional advertising

Other marketing support
  • Online, trade shows

Rankings

Franchise 500® rank:
#98 (2009); #156 (2008); #139 (2007); #134 (2006); #82 (2005);

America's Top Global Franchises:
#77 (2009); #162 (2008); #73 (2007); #57 (2006); #79 (2005);