Ramada Worldwide Inc.
22 Sylvan Way
Ramada Worldwide Inc. is a Delaware corporation, incorporated on August 10, 1989. They are a subsidiary of Wyndham Hotel Group, LLC, a Delaware limited liability company, which is owned by Wyndham Worldwide Corporation, a Delaware corporation. Their principal business address is 22 Sylvan Way, Parsippany, New Jersey 07054.
Under the Franchise Agreement (found as Exhibit C-1 to this Disclosure Document), we offer you, if you qualify, a franchise to operate a Ramada Chain guest lodging facility (a “Chain Facility” or “Facility”) at a single, defined location. The Chain Facility will utilize the Mark that we assign to it and the System. We license two types of Facilities geared to different market segments. A “Ramada” Facility offers comfortable attractive accommodations at mid to upper mid–market rates in most markets. It is of interior corridor design and has at least two stories. A Ramada Facility features flexible food and beverage options. Ramada Facilities also have meeting rooms, complimentary high speed Internet access, business services and a fitness facility. The flagship of the Ramada Chain is the “Ramada Plaza Hotel” Facility. A Ramada Plaza Hotel Facility is an interior corridor structure of at least three stories, having decor, amenities, room types and sizes, and guest services consistent with upper mid-market hotels. A Ramada Plaza Hotel Facility generally has at least 150 guest rooms, one or two restaurants, banquet and meeting facilities accommodating at least 100 people, a cocktail lounge (where legally permitted), a board room, complimentary high speed Internet access, and exercise facilities, and a business center. From 1991 until April 1, 2004, we offered Ramada Limited franchises to lodging facilities meeting System standards that did not offer on–premises food and beverage outlets. While we will not grant new Ramada Limited licenses or renew an existing Ramada Limited license that expires, an existing Ramada Limited Chain Facility may retain its existing Ramada Limited signage and branding until expiration of its current Franchise Agreement term. Existing Ramada Limited Chain Facilities may transfer without changing to the Ramada Facility branding until the expiration of the license term of the transferor. An existing Ramada Limited Facility may convert to a Ramada Facility at any time if it makes all upgrades needed to meet brand standards, including those described above, and installs new Ramada signage.
16 Ongoing Lawsuits
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Franchimp Summary Rating
7/10
Earning Transparency
7/10
Investment Accessibility
7/10
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Upfront Franchise Fees
Minimum: $46,100 Maximum: $89,750
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: $209,364 Maximum: $18,275,703
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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