Motel
Franchise research report · reviewed 2025 disclosure data
Researching Motel franchise opportunities? Every figure below is cited to the FDD.
Motel 6 franchisees operate motels providing limited services and amenities for transient lodging guests. The disclosure describes both newly constructed and converted motel properties.
Headline figures
Motel quick facts
- Is Motel a franchise?
- Yes. Motel offers franchises through a Franchise Disclosure Document. At the end of 2024, it reported 1,195 franchised and 0 company-owned outlets (2025 FDD, Item 20, PDF p. 56).
- How much does it cost to open a Motel franchise?
- The Motel Franchise Disclosure Document reports separate estimated initial investments by format: $195,259–$8,239,350 for total excluding land acquisition costs — renovation (low) (2025 FDD, Item 7, PDF p. 28); $1,471,540–$8,239,350 for total excluding land acquisition costs — renovation (high) (2025 FDD, Item 7, PDF p. 28); $6,251,265–$8,239,350 for total excluding land acquisition costs — new construction (low) (2025 FDD, Item 7, PDF p. 28); $8,239,350 for total excluding land acquisition costs — new construction (high) (2025 FDD, Item 7, PDF p. 28). These formats are not combined. Each is the franchisor's disclosed estimate, not a quote. Details
- What is the Motel initial franchise fee?
- The disclosed initial franchise fee for a standard single unit is $25,000 (2025 FDD, Item 5, PDF p. 14). Other fee options (for example multi-unit or conversion) are listed separately in the report. Details
- What ongoing fees does Motel charge?
- The disclosed ongoing royalty is 5% (2025 FDD, Item 6, PDF p. 17). Other recurring fees are listed in Item 6. Details
- Does Motel disclose financial performance (Item 19)?
- Yes. The Motel FDD includes an Item 19 financial performance representation (2025 FDD, Item 19, PDF p. 55). Figures apply only to the locations and period each one covers. Details
- How many Motel locations are there?
- The FDD reports 1,195 outlets at the end of 2024 (2025 FDD, Item 20, PDF p. 56). Existing locations do not indicate territory availability. Details
- Is Motel a good franchise to buy?
- Franopolis does not rate or recommend franchises. From the reviewed FDD: Item 19 includes financial performance figures; check which locations and period they cover; Item 20 lists outlet openings, closures and transfers; Item 6 lists every recurring fee beyond royalty; Item 20 also lists current and former franchisees you can contact. Review the full FDD with a franchise attorney and accountant before deciding.
From reviewed FDD figures only. Not a recommendation or projection.
What the disclosures show
- 1The 2025 FDD (Item 7) estimates opening costs separately by format: $195,259 – $8,239,350 (Total excluding land acquisition costs — renovation (low)); $1,471,540 – $8,239,350 (Total excluding land acquisition costs — renovation (high)); $6,251,265 – $8,239,350 (Total excluding land acquisition costs — new construction (low)); $8,239,350 (Total excluding land acquisition costs — new construction (high)); several initial fee options apply.
- 2Item 19 covers 3 separate groups: other measures for 1,107 locations; other measures for 1,107 locations; other measures for 527 locations. They are not combined.
- 3Outlets declined by 13 in 2024, to 1,195 (Systemwide, as labeled in the FDD, Item 20).
From reviewed FDD figures only. Not a recommendation or projection.
Motel head-to-head
Closest peers in the same subcategory, side by side from reviewed FDD figures. Not a ranking or recommendation.
Costs · Items 5–7
What does it cost to open?
Estimated opening costs and the fees payable to the franchisor.
Startup Investment — Item 7
Range across 4 single-unit formats
2025 FDD · Item 7
Formats disclosed in Item 7 (4)
Each format has its own total. The total depends on the format you choose.
- Total excluding land acquisition costs — renovation (low)PDF p. 28$195,259 – $8,239,350
- Total excluding land acquisition costs — renovation (high)PDF p. 28$1,471,540 – $8,239,350
- Total excluding land acquisition costs — new construction (low)PDF p. 28$6,251,265 – $8,239,350
- Total excluding land acquisition costs — new construction (high)PDF p. 28$8,239,350
Standard single-unit franchise fee
2025 FDD · Item 5 · PDF p. 14
Discounted and multi-unit options are separate; see all fees.
Ongoing Fees — Item 6
Selected recurring charges; payment bases and conditions remain attached to each fee.
- General Royalty FeeMain ongoing fee
38 reported fees, each with its payment basis, are listed below; they haven't been sorted into recurring, initial and occasional groups yet.
Financial Performance — Item 19
What results are disclosed—and for which locations?
3 separate populations, shown apart. Revenue is not owner income.
Locations counted: not stated in the reviewed record
Other measures · 1,107 locations
- Who is counted
- 1,107 franchised U.S. Motels active for at least two full years as of December 31, 2024, for January 1–December 31, 2024.
- Excluded
- Motels outside the stated active, franchised, two-year population are not included.
Locations counted: not stated in the reviewed record
Other measures · 1,107 locations
- Who is counted
- 1,107 franchised U.S. Motels active and operating as franchised properties for at least two full years as of December 31, 2024; 12-month period from January 1 through December 31, 2024.
- Excluded
- Motels not active as franchised properties for at least two full years as of December 31, 2024 are outside this chart's stated population.
Locations counted: not stated in the reviewed record
Other measures · 527 locations
- Who is counted
- 527 franchised U.S. Motels in Chart 1 that achieved the internal A or B Ranking; 12-month period from January 1 through December 31, 2024.
- Excluded
- Chart 2 includes only Chart 1 Motels with an A or B Ranking; other Chart 1 Motels are excluded.
These groups are never combined.
Outlet Changes — Item 20
How has the outlet count changed?
Systemwide, as labeled in the FDD · counts as of 2024 of each year.
2025 FDD · Item 20 · PDF p. 56
Net −16 outlets, 2022–2024
Year-end counts reported in Item 20. The scale starts at zero, so the line looks nearly flat; the labels between the dots show each year's change. Openings and closures for 2024 haven't been pulled from the Item 20 tables yet, so no turnover or churn is shown.
Questions to investigate
Prompts based on what this brand's reviewed disclosures do and don't show — not conclusions. Join free as a member to save questions to your research.
For the franchisor
Which line items in the 2025 Item 7 estimate ($195,259 – $8,239,350) vary most by market, and why?
Which initial fee option would apply to my situation, and what conditions or discounts affect it?
Which locations are included in the Item 19 figures, and which were excluded?
Reported units decreased from 1,208 to 1,195 in 2024. What drove the change?
Is a territory available in my area, and how is it defined in my agreement?
For current and former owners
How did your actual startup costs and timeline compare with the Item 7 estimate?
How many hours a week do you work in the business, and in what role?
How do your results compare with the Item 19 figures, and what explains the difference?
What support from the franchisor has been most and least useful?
For your advisors
Ask a franchise attorney to review the territory, renewal, transfer and termination terms.
Ask an accountant to build a cash-flow plan using your own assumptions, not the franchisor's.
Sources & vintage history
Every displayed fact is retained with its disclosure vintage, item, page, and reviewed status. Prior vintages remain on file rather than being overwritten.
Citations (2025 FDD)
- [1]Standard initial franchise fee — Item 5 · PDF p. 14
- [2]Item 19 — Locations counted not stated in the reviewed record — 1,107 franchised U.S. Motels active for at least two full years as of December… · PDF p. 55
- [3]Item 19 — Locations counted not stated in the reviewed record — 1,107 franchised U.S. Motels active and operating as franchised properties for… · PDF p. 55
- [4]Item 19 — Locations counted not stated in the reviewed record — 527 franchised U.S. Motels in Chart 1 that achieved the internal A or B Ranking… · PDF p. 55
- [5]Outlet counts — Item 20, Table 1 · PDF p. 56
"PDF p." is the page in the PDF file; "printed p." is the number printed on the FDD page.
Territory & operations
These are contract disclosures, not confirmation that any territory is currently available.
Legal & agreement
Franchisor financial statements
| Fiscal year | Measure | Reported value |
|---|---|---|
| 2024 | 2024 total assets | $47,443 |
| 2024 | 2024 members’ capital | $30,127 |
| 2024 | 2024 total revenues | $72,131 |
| 2024 | 2024 royalty fees revenue | $63,057 |
| 2024 | 2024 franchise fees revenue | $2,663 |
| 2024 | 2024 net income | $47,008 |
These figures describe the franchisor company, not individual franchise locations.
SBA-backed loans to franchisees
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Source: U.S. Small Business Administration 7(a) & 504 FOIA data. Loan volume is not a measure of franchisee success.
Related research
Brands in the same subcategory first, then the wider industry, ordered by shared business format and overlapping investment range. This is not a ranking or recommendation.
Americas Best Value Inn
Kimpton Hotels & Restaurants
Knights Inn
Magnuson Hotels
Park Inn by Radisson
Signature InnHead-to-head comparisons
At a glance
Business history
Not reviewed
Owner participation
Not reviewed
Territory language
Litigation disclosure
Not reviewed
Bankruptcy disclosure
Not reviewed
Agreement term
Not reviewed
Independent analysis of franchisor-provided data. Not investment advice. Franopolis does not distribute FDDs.