- 2023 Franchise 500 Rank
#25 Ranked #44 last year
- Initial investment
$28M - $97.6M
- Units as of 2023
511 8.0% over 3 years
Doubletree opened its first hotel in 1969. The owner, Samuel Kitchell, opted to begin franchising in 1989, and this move caught the eye of Hilton Hotels. Ten years later, Kitchell merged with Hilton, growing the brand to its current state. Now, Doubletree by Hilton has more than 450 units worldwide.
Since their main expansion plan was franchising, more than 80% of all Doubletree Hilton hotels are individually owned as a franchise. As a franchisee, you have the option of opening a 250-room Doubletree by Hilton hotel or a 250 Doubletree by Hilton suite hotel for travelers who require more space.
No matter the option y choose, you can opt to include a world-class spa, Eforea for an extra cost. If not, you can opt for a different spa brand as long as it meets Hilton's high standards. Doubletree by Hilton hotels may offer restaurants, business rooms, lounges, spas, gyms, health clubs, banquet space, and more, all dependent upon site selection and a franchisee's total investment.
Why You May Want to Open a Doubletree by Hilton Franchise
Doubletree by Hilton is one of the fastest growing hotel brands when compared to the other Hilton hotels brands. They have locations in the U.S., Canada, and Latin America.
Becoming a franchisee with Doubletree by Hilton may give you instant brand recognition. The company offers continuous support in running your business. A small number of employees may receive over 160 hours of classroom training to learn how best to serve future guests.
What Might Make a Doubletree by Hilton Franchise a Good Choice?
To be part of the Doubletree by Hilton team, you should make sure you're financially ready for an initial investment and potential set-up fees. It may also be wise to consult a financial planner and attorney as you decide whether you wish to become a franchisee of Doubletree by Hilton.
The total investment cost will depend significantly on your choice between becoming a franchisee of a new Doubletree by Hilton hotel or suite. Additionally, adding the spa option will also increase investment costs. The hotel or suite option only allows for 250 rooms; additional rooms may incur additional investment costs.
Franchisees will need to pay an initial franchise fee, along with a royalty and ad fee each year.
How to Open a Doubletree by Hilton Franchise
To join the Doubletree by Hilton franchise brand, you will first submit an inquiry. Doubletree by Hilton may assign a representative to you if you seem to be a good fit for the brand. The franchise representative will guide and inform you of the details you need to know about the franchise as you begin your journey.
If you continue to progress through the franchising process, you may be allowed to choose a territory and site selection with the guidance of your franchise representative. After signing, employee training may begin.
As part of the planning and opening plan, Doubletree by Hilton may introduce you to several professionals to help you bring the hotel to life, be it architects, environmentalists, interior designers, or chefs. Soon, you may be on your way to creating a guest-friendly hotel with Doubletree by Hilton.
About DoubleTree by Hilton
|Franchising Since||1989 (34 years)|
|# of employees at HQ||7,801|
This company is offering new franchisees throughout the US.
This company is offering new franchisees worldwide.
|# of Units||511 (as of 2023)|
Information for Franchisees
Here's what you need to know if you're interested in opening a DoubleTree by Hilton 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
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
|$28,036,825 - $97,637,831|
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
Term of Agreement
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
|Is franchise term renewable?||Yes|
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
|Third Party Financing||DoubleTree by Hilton 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||1 hour|
|Classroom Training||127-136 hours|
Meetings & Conventions
Security & Safety Procedures
Franchisee Intranet Platform
Additional details about running this franchise.
|Is absentee ownership allowed?||No|
Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
|# of employees required to run||100|
Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Franchise 500 Ranking History
Compare where DoubleTree by Hilton landed on this year's Franchise 500 Ranking versus previous years.
Curious to know where DoubleTree by Hilton ranked on other franchise lists? Find out below.
Are you eager to see what else is out there? Browse franchises that are similar to DoubleTree by Hilton.
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