Travelodge by Wyndham
Travelodge Hotels, Inc.
Company Information
22SylvanWayParsippany,NewJersey07054
Travelodge Hotels, Inc. is a Delaware corporation, incorporated on January 11,1996. They were incorporated under the name Bear Acquisition Corp. and changed the name to Travelodge Hotels, Inc. on January 31, 1996. 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.
We offer, sell and support franchises for Travelodge® and Travelodge® by Wyndham “Chain” guest lodging facilities. We do not own, operate or manage any Travelodge Chain guest lodging facility. We are not engaged in any other business. We have the exclusive right (except as indicated below) to utilize and to sublicense in the United States, Canada and Mexico the proprietary Travelodge “System” providing transient guest lodging services to the public, including certain trade names, service marks and other commercial symbols (the “Marks”). Under the “Franchise Agreement” (found as Exhibit C-l to this Disclosure Document), we offer you, if you qualify, a license to operate a Travelodge 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 several types of Facilities geared to different market segments.
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Franchise Rating
Franchimp Summary Rating
8/10
Investment Accessibility
8/10
Franchise System Development
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Distribution of Travelodge by Wyndham Franchisee
Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $45,200 Maximum: $70,050
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: $6,077,894 Maximum: $10,927,148
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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