- 2024 Franchise 500 Rank
-
#264 Not ranked last year
- Initial investment
-
$12.2M - $18.3M
- Units as of 2023
-
371 10% over 3 years
Candlewood Suite opened its first branch hotel in 1995. The following year, franchising began. The company opened the first international Candlewood Suite in 2007 in Montreal, Canada. Currently, there are over 400 Candlewood Suite branches all across the country, with many more hotels currently in planning stages.
Why You May Want to Start a Candlewood Suites Franchise
Candlewood Suites is committed to providing guests with all of the convenience they are used to at home. Suites consist of completely stocked kitchens, a workspace, a television with a DVD player, access to free Wi-Fi, close laundry equipment, pleasant living room furniture, and a comfortable bed.
Candlewood Suites is a popular choice amongst guests who are business travelers because of the comfort it offers. The company is intent on having its customers return because of the cleanliness, and the reasonable prices offered. Candlewood Suites also has a Candlewood Cupboard where guests can get food and snacks whenever the urge strikes.
Candlewood Suites are relatively easy to run. Franchisees should be available to operate the business, but hiring executive managers may be beneficial to franchisees. However, absentee ownership is not an option; franchisees are expected to be involved.
What Might Make Candlewood Suites a Good Choice?
To be part of the Candlewood Suites team, you should make sure you’re financially ready for an initial investment, including a franchise fee and other potential startup fees. These fees will include royalty fees, as well as potential franchise renewal fees. Franchisees may also need to meet the company's set net worth and liquid capital requirements. Candlewood Suites has partnered with third-party services in order to offer franchisees financial help with costs, including the franchise fee and other startup costs.
Like any other franchising business, Candlewood Suites requires franchising payments. Franchisees may need to pay two separate fees in management standard contracts: base and incentive fees. These fees are dependent on the franchise location.
With your investment in Candlewood Suites, franchisees receive training, a marketing program, and consultation services as operations begin. It can also be worthwhile if, as a franchisee, you join the Intercontinental Hotels Group (IGH), an association of hotel owners worldwide. There, other hotel owners can give you practical tips on how to run your business.
How to Open a Candlewood Suites Franchise
As you decide whether you wish to open a Candlewood Suites franchise, make sure you take time to explore the opportunity. Research the brand and your local area to see if a franchise would do well in your community. If there are multiple hotels around the location, then opening a Candlewood Suites in that area may not be beneficial.
Once you have decided that you would like to open a Candlewood Suites franchise, you are required to download and read the franchise advice form. This form will include details about the approximate startup cost, timeframe, and more.
After an inquiry to Candlewood Suites, an executive may call you to evaluate your franchisee requirements and the location of choice. If your request is accepted, the franchise executive will talk you through the particulars of the Franchise Disclosure Document. If confirmed as a franchisee, you will sign a contract before operating a Candlewood Suites.
Company Overview
About Candlewood Suites
Business Overview
| Franchising Since | 1996 (28 years) |
|---|---|
| # of employees at HQ | 1,711 |
| Where seeking |
This company is offering new franchises throughout the US. This company is offering new franchises in the following international regions: Canada, Mexico |
| # of Units | 371 (as of 2023) |
|
|
|
Information for Franchisees
Here's what you need to know if you're interested in opening a Candlewood Suites franchise.
Financial Requirements & Ongoing Fees
Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
|
Initial Franchise Fee
|
$50,000 |
|---|---|
|
Initial Investment
|
$12,217,200 - $18,328,830 |
|
Royalty Fee
|
5.5% |
|
Term of Agreement
|
20 years (average) |
| Is franchise term renewable? | Yes |
Financing Options
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
| Third Party Financing | Candlewood Suites has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll |
|---|
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
| On-The-Job Training | Varies |
|---|---|
| Classroom Training | Varies |
| Ongoing Support |
Meetings & Conventions
Toll-Free Line
Grand Opening
Online Support
Security & Safety Procedures
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
|
| Marketing Support |
Ad Templates
National Media
SEO
Website Development
Loyalty Program/App
|
Operations
Additional details about running this franchise.
| Is absentee ownership allowed? | No |
|---|---|
|
Can this franchise be run from home/mobile unit?
|
No |
|
Can this franchise be run part time?
|
No |
|
Are exclusive territories available?
|
No |
Franchise 500 Ranking History
Compare where Candlewood Suites landed on this year's Franchise 500 Ranking versus previous years.
Additional Rankings
Curious to know where Candlewood Suites ranked on other franchise lists? Find out below.
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