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Studio 6
 

Accor Hotels is one of the largest owner/operators of economy lodging in the United States. Accor North America is a division of Accor, with 150,000 people in 100 countries, employing approximately 470 people at the corporate offices including the call centers. Approximately 13,000 are employed at Motel 6 and Studio 6 combined.

Franchisor Background

Year Established:

  1998

Franchising Since:

  1998

Operating Units:

Franchised Units:12 23.1%  
Company-Owned Units:40 76.9%  
 ______ _____  
Total Operating Units:52 100%  
 

Geographic Distribution:

U.S.:51 98.1% In 15 States
Canada:1 1.9% In 1 Canadian Provinces
International:0 0% In 0 Foreign Countries
 ______ _____  
Total:52 100%  
 

North America:

States/Provinces with the largest number of operating units:
DensityUnits    
1. Texas25
2. Florida4
3. Georgia4

Registered in Following Registration States:

   California, Florida, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, Wisconsin, District Of Columbia

Financial Requirements

Investment:

Minimum Net Worth:$1.5MM
Cash Investment:$100-500K
Total Investment:$2.9-4.1MM
Average Total Investment:$2950K
 

Fees:

Initial Franchise Fee:$25K
Average Franchise Fee:$25K
On-Going Royalty:5%
Average Royalty:5%
Advertising Fee:2%

Average Number of Employees:

   2-4 Full-time, 4-10 Part-time

Space Needs (in square footage):

   1.5 Acres Min

Preferred Sites:

   Free-standing Building

Other Sites:

  

Encourage Conversions?

   Yes

Earnings Claims Provided?

   Yes

Listed in the SBA Registry?

   No

Support and Training

International Franchise Association:Yes
Canadian Franchise Association:No
Franchisee Association/Member:Yes, Member
Size of Corporate Staff:470
Site Selection Assistance?No
Lease Negotiation Assistance?No
Financial Assistance?Yes, Direct
 

Marketing Support:

Co-Op Advertising:No
National Advertising:No
Regional Advertising:No
Local Advertising:No
Marketing Materials:None Specified
Additional Services:Online Extranet
Other Marketing Support:Owner's Orientation
 

On-Going Support:

Central Data Processing:Included in Fees
Central Purchasing:At Additional Cost
Field Operation Evaluation:Included in Fees
Field Training:At Additional Cost
Initial Store Opening:At Additional Cost
Inventory Control:Not Applicable
Franchisee Newsletter:Included in Fees
Regional or National Meetings:At Additional Cost
800 Telephone Hotline:Included in Fees
 

Training:

1. Carrollton, TX for Owner's Orientation2 Days
2. Carrollton, TX for Managers' Orientation7 business days
 

Franchisee Qualifications

Ranked from 1 (unimportant) to 5 (important):
 
Financial Net Worth:4
General Business Experience:4
Specific Industry Experience:1
Formal Education:1
Psychological Profile:1
Personal Interview(s):3

Minority Representation

Units Owned by Minorities:

African-American:N/A
Asian-American:75%
Hispanic:25%
Native American:N/A
Other:N/A
Specific Minority:We sponsor several minority organizations which undertake to provide access to qualified minority franchisee candidates, including the International Franchise Association's (IFA) Minorities in Franchising Committee, Asian American Hotel Owners Assoc. (AAHOA), National Minority Franchising Initiative (NMFI) and the National Assoc. of Black Hotel Owners, Operators and Developers ( NABHOOD). We will continue sponsoring those organizations that are effective in recruiting qualified minority candidates.

Terms of Contract

Term of Initial Contract:15/20 Year(s)
Term of Renewal Period:10 Year(s)
Passive Ownership:Allowed
Area Development Agreements?No
Sub-Franchising Contracts?No
Franchisees Allowed to Expand Within Territory?Yes

Expansion Plans

Projected New Units Over Next 12 months:

   5
U.S.:Yes, All United States
Canada:Yes, All Canada
Overseas:No
 
 
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