About Holiday Inn - exempt Franchise
Holiday Inn is one of the most recognized hotel brands in the world, offering full service and select service accommodations to business and leisure travelers.
As part of the IHG Hotels & Resorts family, the brand has a global presence spanning thousands of properties and is known for providing comfortable, dependable stays at a mid scale price point.
The initial franchise fee is $27,500.
Holiday Inn - exempt Franchise Cost & Fees
Minimum Investment
$6K
Average Investment
$9.2M
Maximum Investment
$18.5M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $27,500 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Rooms Revenue of gross sales | Ongoing; paid monthly |
| Total Investment Range | $6,000 – $18,468,400 | Includes build-out, inventory, working capital |
The investment range of $6K–$18.5M reflects variability in build-out costs, store size, lease terms, and market. The ongoing royalty fee is 5% of Gross Rooms Revenue of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Building Construction (Note 3) (Note 4) | $90,468 | $18,468,400 |
| Furniture, Fixtures & Equipment (Note 3) | $12,906 | $2,178,000 |
| Operating Supplies & Equipment (Note 5) | $242,789 | $315,600 |
| Primary Identification Sign (including installation, freight, foundation and wiring) | $65,000 | $150,000 |
| PMS Equipment; Software; Installation & Training; IHG Concerto™ Equipment; NGP/Payments Equipment; S | $83,000 | $96,000 |
| Guest Internet Access – Hardware (IHG Connect) (Note 6) | $22,750 | $49,000 |
| Keycard System (Note 6) | $10,000 | $20,000 |
| In Room Entertainment (IHG Studio) (Note 6) | $14,000 | $16,000 |
| Employee Safety Devices (Note 6) | $16,000 | $19,000 |
| Technology Systems (Note 6) | $68,310 | $108,310 |
| Market Feasibility Study | $15,000 | $30,000 |
| Openings and Renovations Preopening Support Fee (consultation, materials & shipping); to be invoiced | $6,000 | $6,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Technology Fee | $16.40 |
| Audit Fee | $3,000 |
| Services Contribution | 3% of GRR for Holiday Inn brand group hotels, Holiday Inn Resort hotels and Holi |
| Initial Marketing Contribution for the Loyalty Program | $10.00 |
| Special Marketing Contribution for the Loyalty Program | 4.75% of Qualifying Full Folio Revenue from Loyalty Program members for all bran |
| IHG® Americas Investors and Leadership Conference | $2,000 |
| Capital Reserve | Up to 5% of Gross Revenue (see Paragraph 14.L of the License) for all brands. |
| IHG Concerto™, Yield & Price Optimization | $30 |
| Opera– Premise Based | $17.60 |
| Opera Xpress – Premise Based | $11.88 |
| Opera - Hosted | $2.88 |
| Opera Xpress - Hosted | $2.25 |
| FastConnect Plus And Access Control Manager | $167.32 |
| Secure Payment Solution (“SPS”) Maintenance & Support | $156.25 |
| NextGen Payments (“NGP”) Maintenance & Support | $140.00 |
| Guest Internet Access – Bandwidth Service Subscription (IHG Connect) | $1,000 |
| Guest Internet Access (“GIA”) – Hardware Maintenance & Guest Support (IHG Connec | $1.50 |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 24 hours classroom |
| Classroom Training | 24 hours |
| Training Location | Virtual or Atlanta |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | exclusive |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Renewal Term | The License does not provide for renewal or term extensions. |
| Termination for Cause | Holiday may terminate with cause. You pay liquidated damages if Holiday terminates under Paragraphs 12.B, 12.C or 14.I. See Note 1 and 2 |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Does not offer financing. |
Holiday Inn - exempt Franchise Earnings — Item 19
Holiday Inn - exempt does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Holiday Inn - exempt does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Holiday Inn - exempt Litigation & Risk Flags
2 Pending Actions ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Holiday Inn - exempt System Growth
Total Units
1
Franchised
1
Company-Owned
0
Holiday Inn - exempt currently operates 1 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 2776 | ||
| 2019 | 1 | ||
| 2019 | 2777 | ||
| 2020 | 2811 | ||
| 2020 | 1 | ||
| 2020 | 2812 | ||
| 2021 | 2786 | ||
| 2021 | 1 | ||
| 2021 | 2787 |
Holiday Inn - exempt Franchise — FAQ
The total investment to open a Holiday Inn - exempt franchise ranges from $6,000 to $18,468,400, per their Franchise Disclosure Document. This includes the initial franchise fee of $27,500. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Holiday Inn - exempt charges a royalty fee of 5% of Gross Rooms Revenue of gross sales. These fees are paid on an ongoing basis.
You can download the Holiday Inn - exempt Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Holiday Inn - exempt to ensure you have the most up-to-date version.
Holiday Inn - exempt does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Holiday Inn - exempt has been offering franchise opportunities. The FDD shows an investment range of $6,000-$18,468,400, a 5% of Gross Rooms Revenue royalty, and includes an Item 19 earnings disclosure. There are 2 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $27,500 and the total investment ranges from $6,000 to $18,468,400 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Holiday Inn - exempt and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Holiday Inn - exempt or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com