FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for COTTAGE INN.
Based on 2025 FDD · 2 filings in corpus
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a COTTAGE INN franchise shows an estimated initial investment of $216K – $500K. The franchisor does not provide enough Item 19 data for a clean profit estimate. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $25K franchise fee · 5.0% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
COTTAGE INN requires a total initial investment of $216K to $500K (midpoint approximately $358K), with an initial franchise fee of $25K. The ongoing fee burden is 5.0% (5% royalty plus 4% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.
COTTAGE INN does not publicly disclose Item 19 financial performance data in their FDD. This is a significant transparency gap — franchisees must rely on validation calls and personal research rather than audited financial representations. Prospective buyers should demand current unit-level financials from existing operators during due diligence.
COTTAGE INN operates approximately 50 franchised units. The SBA 7(a) loan default rate of 50.0% is above the franchise industry average of approximately 7.2%, suggesting elevated financial risk for franchisees relying on debt financing.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2025 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Real lending data from SBA 7(a) loans (2017-2023). 7 loans across 2 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
Common questions buyers ask about COTTAGE INN, answered from FDD and SBA data.
The total initial investment for a COTTAGE INN franchise ranges from $216K to $500K, according to their Franchise Disclosure Document.
COTTAGE INN charges a 5% royalty fee on gross sales.
The initial franchise fee for COTTAGE INN is $25,000.
There are approximately 50 COTTAGE INN franchise locations as of 2023.
Profit data for COTTAGE INN is disclosed in FDD Item 19 (Financial Performance Representation). Check their most recent Franchise Disclosure Document for current figures.
COTTAGE INN has an SBA loan default rate of 50.0% based on SBA 7(a) loan data.
Whether a COTTAGE INN franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.
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