Red Roof Inns

Founded: 1967 Franchising since: 1996

4001 International Pkwy. Carrollton, Texas 75007

Phone: (888)842-2942 Franchisee Association The Red Roof Exchange

Franchisor is a privately-held company with 500 employee(s); 29 employee(s) in franchise department.

Franchise Growth

Year	U.S. Franchises	Canadian Franchises	Foreign Franchises	Company Owned
2006	100	0	0	238
2005	100	0	0	246

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, United states, Utah, Virginia, Vermont, Washington, Wisconsin, West virginia, Wyoming

Exclusive territories available.
Territory size: 5-10 miles

Total investment: $2.7M-3.1M Franchise fee: $30K

Ongoing royalty fee: 4.5% Term of agreement: 20 years, renewable

Type of Financing Available

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

Third-party financing source(s): various sources

Qualifications
Net worth requirement: $1.5M
Cash liquidity requirement: $300K
Business Experience:

• General business experience

Operations

• 10% of all franchisees own more than one unit
• Absentee ownership of franchise is allowed. (60% of current franchisees are owner/operators)

Training

• Available at headquarters: 2 weeks
• At franchisee's location: 1 week
• At convention : 3 days/year

Ongoing Support

• Newsletter
• Meetings
• Grand opening
• Internet
• Security/safety procedures
• Field operations/evaluations
• Purchasing cooperatives

Marketing Support

• Ad slicks
• National media

Franchise 500® rank:
#253 (2006); #231 (2005);