Hilton Worldwide
7930 Jones Branch Drive, Suite 1100McLean, Virginia 22102
Hilton Franchise Holding LLC is a Delaware limited liability company formed in September 2007. Their principal business address is 7930 Jones Branch Drive, Suite 1100, McLean, VA 22102. Their parent company is Hilton Domestic Operating Company Inc., a Delaware corporation formed on July 12, 2016. Hilton’s parent company is Hilton Worldwide Holdings Inc., a Delaware corporation formed on March 18, 2010.
We currently have two affiliates that offer franchises outside of the US. First, Hilton Worldwide Manage Limited, a limited company formed on December 7, 2010, under the laws of England and Wales (“HWML”) has offered franchises outside the US since January 1, 2018, for the brands listed below, except in Canada, China, Russia, and a limited number of other territories. Second, Hilton Worldwide Franchising LP, a limited partnership formed on March 12, 2014, under the laws of England and Wales (“HWF”) offered franchises outside the US for the brands listed below from July 1, 2014 to December 31, 2017, and currently continues to offer franchises for these brands in Canada, China, Russia, and a limited number of other territories. Therefore, HWF is HWML’s predecessor outside of the US, except in Canada, China, Russia, and a limited number of other territories. The brands offered by HWML and HWF are: Conrad, Curio - a Collection by Hilton, DoubleTree by Hilton, DoubleTree Suites by Hilton, Embassy Suites by Hilton, Hampton by Hilton, Hilton, Hilton Garden Inn, Home2 Suites by Hilton, Homewood Suites by Hilton and Waldorf Astoria, Canopy by Hilton (since first offered on October 15, 2014), Tru by Hilton (since first offered on June 30, 2016), and Tapestry Collection by Hilton (since first offered on December 1, 2016).
| FDD | Effective Date | Action |
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Franchimp Summary Rating
6/10
Earning Transparency
7/10
Investment Accessibility
4/10
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Upfront Franchise Fees
Minimum: $243,145 Maximum: $243,145
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $20,276,671 Maximum: $30,054,220
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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