Franchise opportunities compared

    Hotel Indigo vs Motel

    Reviewed figures from each brand's Franchise Disclosure Document (FDD), side by side. Each figure carries its FDD year and page. This is not a ranking or recommendation, and the two FDDs may cover different years and location groups.

    Initial investment · Item 7

    Hotel Indigo

    $9,316,623 – $48,510,839

    2026 FDD · Item 7 · PDF p. 58

    Motel

    $195,259 – $8,239,350

    2025 FDD · Item 7

    Initial franchise fee · Item 5

    Hotel Indigo

    Not available

    Motel

    $25,000

    2025 FDD · Item 5 · PDF p. 14

    Royalty · Item 6

    Hotel Indigo

    5%

    2026 FDD · Item 6 · PDF p. 31

    Motel

    5%

    2025 FDD · Item 6 · PDF p. 17

    Before you compare

    • Hotel Indigo figures come from its 2026 FDD and Motel figures from its 2025 FDD, so the years differ.
    • Motel discloses more than one business format, so the investment range spans formats; the full report breaks them out.
    • Item 19 figures cover the location groups each FDD names (Hotel Indigo: 2, Motel: 3). Different groups are not directly comparable.

    Financial commitment

    Estimated initial investment (Item 7)

    Hotel Indigo

    $9,316,623 – $48,510,839
    Total investment low end
    2026 FDD · Item 7 · PDF p. 58

    Motel

    $195,259 – $8,239,350
    2025 FDD · Item 7
    Standard initial franchise fee (Item 5)

    Hotel Indigo

    Not available
    No single standard fee identified

    Motel

    $25,000
    2025 FDD · Item 5 · PDF p. 14
    Royalty (Item 6)

    Hotel Indigo

    5%
    Royalty fee
    2026 FDD · Item 6 · PDF p. 31

    Motel

    5%
    General Royalty Fee
    2025 FDD · Item 6 · PDF p. 17
    Brand / advertising fund (Item 6)

    Hotel Indigo

    $10
    Loyalty initial marketing contribution per room
    2026 FDD · Item 6 · PDF p. 32

    Motel

    Not available
    No reviewed brand or advertising fund fee

    System scale & health

    Total outlets (Item 20)

    Hotel Indigo

    74
    Outlets at end of 2025
    2026 FDD · Item 20 · PDF p. 102

    Motel

    1,195
    Outlets at end of 2024
    2025 FDD · Item 20 · PDF p. 56
    Net outlet change (Item 20)

    Hotel Indigo

    +6
    Calculated: 68 at end of 2023 → 74 at end of 2025

    Motel

    −16
    Calculated: 1,211 at end of 2022 → 1,195 at end of 2024
    Outlet exits (Item 20)

    Hotel Indigo

    Not available
    No complete exit records for a year

    Motel

    Not available
    No complete exit records for a year
    Franchising since (Item 1)

    Hotel Indigo

    2004
    From a verified franchisor listing

    Motel

    Not available
    Not in reviewed records
    Franchisor founded (Item 1)

    Hotel Indigo

    Not available
    Not in reviewed records

    Motel

    Not available
    Not in reviewed records

    Financial performance (Item 19), by location group

    Hotel Indigo
    Locations counted not stated in the reviewed record — 52 mature Hotel Indigo hotels in the United States
    70.5 percent
    other occupancy rate
    2026 FDD · Item 19 · PDF p. 98
    Locations counted not stated in the reviewed record — All US Hotel Indigo Brand System hotels
    74 hotels
    other Total Brand System hotels in United States
    2026 FDD · Item 19 · PDF p. 98
    MMotel
    Locations counted not stated in the reviewed record — 1,107 franchised U.S. Motels active for at least two full years as of December…
    $65
    other Chart 1 median average daily rate
    2025 FDD · Item 19 · PDF p. 55
    Locations counted not stated in the reviewed record — 1,107 franchised U.S. Motels active and operating as franchised properties for…
    $193
    other Chart 1 high average daily rate
    2025 FDD · Item 19 · PDF p. 55
    Locations counted not stated in the reviewed record — 527 franchised U.S. Motels in Chart 1 that achieved the internal A or B Ranking…
    66.62 percent
    other Chart 2 median occupancy rate
    2025 FDD · Item 19 · PDF p. 55

    Item 19 groups are shown separately and never combined. Revenue or sales figures are not profit. Net outlet change and turnover are Franopolis calculations from the disclosed counts; turnover is a count-based rate, not a measure of owner earnings.

    Hotel Indigo vs Motel: common questions

    Which costs less to open, Hotel Indigo or Motel?
    Hotel Indigo: $9,316,623 – $48,510,839 (2026 FDD · Item 7 · PDF p. 58); Motel: $195,259 – $8,239,350 (2025 FDD · Item 7). These are each franchisor's Item 7 estimated initial investment. The low end of the disclosed estimate is lower for Motel. At least one range spans several business formats. Estimates are not quotes, and the FDD years may differ.
    How do Hotel Indigo and Motel royalties compare?
    Hotel Indigo: 5% (2026 FDD · Item 6 · PDF p. 31); Motel: 5% (2025 FDD · Item 6 · PDF p. 17). Royalties as disclosed in Item 6; other recurring fees are listed separately.
    Which has more locations, Hotel Indigo or Motel?
    Hotel Indigo: 74 (2026 FDD · Item 20 · PDF p. 102); Motel: 1,195 (2025 FDD · Item 20 · PDF p. 56). Total outlets from Item 20. Outlet counts do not indicate territory availability or franchisee results.
    Do Hotel Indigo and Motel disclose financial performance (Item 19)?
    Hotel Indigo has reviewed Item 19 figures for 2 location groups; Motel has reviewed Item 19 figures for 3 location groups. Different location groups are not directly comparable, and revenue is not profit.

    Answers restate the reviewed figures above. Not a ranking or recommendation.

    How Franopolis reviews FDD figures

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