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InterContinental Hotels Group (IHG)
 

IHG is the world's largest hotel company by number of rooms. The company operates or franchises more than 4,500 hotels and 666,000 guest rooms in nearly 100 countries. IHG offers franchises with the following brands: InterContinental Hotels & Resorts, Crowne Plaza, Hotel Indigo, Holiday Inn Hotels and Resorts, Holiday Inn Express, Staybridge Suites and Candlewood Suites. Notes: Operating Units chart represents all IHG hotel brands. Geographic Distribution chart is as of March 31, 2009 and represents all IHG hotel brands. Fees listed are for a 100 room Holiday Inn; please contact IHG directly for fee information on our other brands, www.ihg.com/development. Financial requirements chart represents fees for a typical Holiday Inn brand hotel. Training chart represents all IHG hotel brands. Expansion Plans chart represents all IHG hotel brands.

Franchisor Background

Year Established:

  1952

Franchising Since:

  1954

IFA Member



Operating Units:

Franchised Units:3,831 99.7%  
Company-Owned Units:12 0.3%  
 ______ _____  
Total Operating Units:3,843 100%  
 

Geographic Distribution:

U.S.:3,156 69.8% In 50 States
Canada:159 3.5% In 1 Canadian Provinces
International:1,205 26.7% In 1 Foreign Countries
 ______ _____  
Total:4,520 100%  
 

North America:

States/Provinces with the largest number of operating units:
DensityUnits    

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, Alberta

Financial Requirements

Investment:

Minimum Net Worth:$NA
Cash Investment:$Varies
Total Investment:$5-93.9 MM
Average Total Investment:$24K
 

Fees:

Initial Franchise Fee:$Minimum $50K
Average Franchise Fee:$50K
On-Going Royalty:5%
Average Royalty:5%
Advertising Fee:2.5%

Average Number of Employees:

   Varies per brand Full-time, 0 Part-time

Space Needs (in square footage):

   Varies per brand

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:1000
Site Selection Assistance?Yes
Lease Negotiation Assistance?No
Financial Assistance?No
 

Marketing Support:

Co-Op Advertising:Yes
National Advertising:Yes
Regional Advertising:Yes
Local Advertising:No
Marketing Materials:None Specified
Additional Services:None Specified
Other Marketing Support:None Specified
 

On-Going Support:

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

Training:

1. Atlanta4-5 Days
2. Regional4-5 Days
 

Franchisee Qualifications

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

Minority Representation

Units Owned by Minorities:

African-American:0
Asian-American:0
Hispanic:0
Native American:0
Other:0
Specific Minority:We support the objectives of the NMFI, AND we do have a diversity of staff in-house. We offer Franchise Fee Reduction, Managerial Training, Fee Waivers, Discount Royalty, and Education/Training.

Terms of Contract

Term of Initial Contract:Varies, Avg. 10 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?No

Expansion Plans

Projected New Units Over Next 12 months:

  
U.S.:Yes, All United States
Canada:Yes, All Canada
Overseas:Yes, All Countries
 
 
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