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    Franchise opportunities compared

    Red Roof Inn vs Sheraton Hotels & Resorts

    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.

    Red Roof Inn2026 FDDSheraton Hotels & Resorts2026 FDD

    Initial investment · Item 7

    Red Roof Inn

    $264,850 – $8,293,100

    2026 FDD · Item 7

    Sheraton Hotels & Resorts

    $83,776,490 – $136,115,890

    2026 FDD · Item 7 · PDF p. 64

    Initial franchise fee · Item 5

    Red Roof Inn

    Not available

    Sheraton Hotels & Resorts

    —

    2026 FDD · Item 5 · PDF p. 55

    Royalty · Item 6

    Red Roof Inn

    $3,000

    2026 FDD · Item 6 · PDF p. 16

    Sheraton Hotels & Resorts

    Not available

    Before you compare

    • Both sets of figures come from 2026 FDDs.
    • Red Roof Inn 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 (Red Roof Inn: 18, Sheraton Hotels & Resorts: 4). Different groups are not directly comparable.

    Financial commitment

    Estimated initial investment (Item 7)

    Red Roof Inn

    $264,850 – $8,293,100
    2026 FDD · Item 7

    Sheraton Hotels & Resorts

    $83,776,490 – $136,115,890
    New-build 250-guestroom Sheraton — Total Range (excludes costs identified as not determinable) $83,776,490 to $136,115,890
    2026 FDD · Item 7 · PDF p. 64
    Standard initial franchise fee (Item 5)

    Red Roof Inn

    Not available
    No single standard fee identified

    Sheraton Hotels & Resorts

    —
    2026 FDD · Item 5 · PDF p. 55
    Royalty (Item 6)

    Red Roof Inn

    $3,000
    ge point reduction in Royalty Fees for a period of up to one year (for a maximum value of — 3000
    2026 FDD · Item 6 · PDF p. 16

    Sheraton Hotels & Resorts

    Not available
    No reviewed royalty record
    Brand / advertising fund (Item 6)

    Red Roof Inn

    4%
    s a Red Roof Inn throughout the designated 12-month period. Marketing and Reservation Fee — 4 — 4%
    2026 FDD · Item 6 · PDF p. 17

    Sheraton Hotels & Resorts

    1%
    CRN qualifying convention/resort hotels Marketing Fund — 1% of gross room sales included in Program Services Contribution — 1%
    2026 FDD · Item 6 · PDF p. 57

    System scale & health

    Total outlets (Item 20)

    Red Roof Inn

    596
    Outlets at end of 2025
    2026 FDD · Item 20 · PDF p. 71

    Sheraton Hotels & Resorts

    165
    Outlets at end of 2025
    2026 FDD · Item 20 · PDF p. 123
    Net outlet change (Item 20)

    Red Roof Inn

    +35
    Calculated: 561 at end of 2023 → 596 at end of 2025

    Sheraton Hotels & Resorts

    −3
    Calculated: 168 at end of 2023 → 165 at end of 2025
    Outlet exits (Item 20)

    Red Roof Inn

    Not available
    No complete exit records for a year

    Sheraton Hotels & Resorts

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

    Red Roof Inn

    Not available
    Not in reviewed records

    Sheraton Hotels & Resorts

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

    Red Roof Inn

    Not available
    Not in reviewed records

    Sheraton Hotels & Resorts

    Not available
    Not in reviewed records

    Financial performance (Item 19), by location group

    Red Roof Inn
    Locations counted not stated in the reviewed record — Red Roof Inn and PLUS+
    $81
    other Table1 Red Roof Inn and PLUS+ Affiliate-owned
    2026 FDD · Item 19 · PDF p. 66
    Locations counted not stated in the reviewed record — Red Roof Inn and PLUS+
    $69
    other Table2 Red Roof Inn and PLUS+ Franchised
    2026 FDD · Item 19 · PDF p. 66
    Locations counted not stated in the reviewed record — Red Roof Inn and PLUS+
    $70
    other Table3 Red Roof Inn and PLUS+ Mixed affiliate/franchised
    2026 FDD · Item 19 · PDF p. 66
    +15 more groups in the full report
    Sheraton Hotels & Resorts
    Locations counted not stated in the reviewed record — STR Included franchised Sheraton hotels
    $173
    other ADR
    2026 FDD · Item 19 · PDF p. 117
    Locations counted not stated in the reviewed record — 1-Year Comp franchised Sheraton hotels
    45 percent
    other he 1-Year Comp Hotels ranged from 29.2% to 96.7%, with a median OCC of 64.9%. 58
    2026 FDD · Item 19 · PDF p. 118
    Locations counted not stated in the reviewed record — Included franchised Sheraton hotels; reservations
    70.1 percent
    other rom the Reservations Channels, and the median contribution to room night revenue was
    2026 FDD · Item 19 · PDF p. 119
    +1 more groups in the full report

    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.

    Red Roof Inn vs Sheraton Hotels & Resorts: common questions

    Which costs less to open, Red Roof Inn or Sheraton Hotels & Resorts?
    Red Roof Inn: $264,850 – $8,293,100 (2026 FDD · Item 7); Sheraton Hotels & Resorts: $83,776,490 – $136,115,890 (2026 FDD · Item 7 · PDF p. 64). These are each franchisor's Item 7 estimated initial investment. The low end of the disclosed estimate is lower for Red Roof Inn. At least one range spans several business formats. Estimates are not quotes, and the FDD years may differ.
    Which has more locations, Red Roof Inn or Sheraton Hotels & Resorts?
    Red Roof Inn: 596 (2026 FDD · Item 20 · PDF p. 71); Sheraton Hotels & Resorts: 165 (2026 FDD · Item 20 · PDF p. 123). Total outlets from Item 20. Outlet counts do not indicate territory availability or franchisee results.
    Do Red Roof Inn and Sheraton Hotels & Resorts disclose financial performance (Item 19)?
    Red Roof Inn has reviewed Item 19 figures for 18 location groups; Sheraton Hotels & Resorts has reviewed Item 19 figures for 4 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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    Full Red Roof Inn report

    Every reviewed fee, Item 19 group, outlet table and territory disclosure

    Full Sheraton Hotels & Resorts report

    Every reviewed fee, Item 19 group, outlet table and territory disclosure

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