ScorecardWorth It?HistoryDatabaseDistress Signals
TravelItem 19: ✓ DisclosedHigh Confidence · 85/100FDD data: 2025 · Fresh

Travelodge - Exemptions Franchise Cost and Profit

FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Travelodge - Exemptions.

Based on 2025 FDD · 3 filings in corpus

FranchiseIQ Score
60
C
Moderate Risk
Composite score from 3 risk dimensions. Click for breakdown ↓
Full analysis unlocks:
✓ Cash-on-Cash return
✓ Payback period
✓ SBA default rate
✓ Red flags assessment
✓ Comparable franchises
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Cost and profit at a glance

How much does a Travelodge - Exemptions franchise cost and make?

Based on FDDIQ's FDD corpus, a Travelodge - Exemptions franchise shows an estimated initial investment of $227K – $11.0M. 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.

Startup Cost
$227K – $11.0M
Total initial investment
Profit / Revenue
Item 19 not disclosed
FDD Item 19 signal
Payback Signal
Estimate unavailable
Modeled return metric
SBA Default Rate
No matched SBA history
Loan repayment history
Compare franchise costs →Estimate franchise ROI →Check SBA default rates →Browse Travel franchises →Compare similar franchises →

Quick fee read: $35K franchise fee · 7% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.

Free decision snapshot

Before you talk to Travelodge - Exemptions, check the numbers buyers usually miss.

The unlocked report ties this brand's FDD disclosures to SBA outcomes, Item 20 movement, fee load, missing-data labels, and buyer assumptions — so you can decide whether this is worth deeper diligence.

FDD disclosure qualitySBA default outcomesItem 20 unit movementFee/cost stressComparable brands
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Travelodge - Exemptions Franchise Analysis

Travelodge - Exemptions requires a total initial investment of $227K to $11.0M (midpoint approximately $5.6M), with an initial franchise fee of $35K. The ongoing fee burden is 7% (5% royalty plus 2% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.

Travelodge - Exemptions 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.

Travelodge - Exemptions operates approximately 339 franchised units. However, the brand has been contracting with a 3.2% net unit decline, which may signal franchisee dissatisfaction, territory saturation, or competitive pressure.

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

Total Investment Range$227K – $11.0M
MinMid: $5.6MMax

Key Metrics

Franchise Fee
$35K
Royalty Rate
5%
Ad Fund Rate
2%
Total Burden
7.0%
Royalty + ad fund
Units (2023)
339
-11 vs prior yr
Net Unit Growth
↓ -3.2%
Year over year
Net Closure Rate
3.1%
From FDD Item 20
Cash-on-Cash Return
~8–15%
Annual estimated return
Payback Period
~5–12 yrs
Break-even timeline
SBA Default Rate
~3–8%
Fewer than 50 loans on record
Median Revenue
~$800K–$2M
Item 19 disclosed
Premium Data

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CoC ReturnPayback PeriodSBA Default RateMedian RevenueEbitda MarginRisk Score
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Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

Travelodge - Exemptions vs. Travel Average

MetricTravelodge - ExemptionsTravel Avg
SBA Default Rate - 7.2%
Cash-on-Cash Return - 15.5%
Total Investment$5.6M$250K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

Travelodge - Exemptions Franchise FAQs

Common questions buyers ask about Travelodge - Exemptions, answered from FDD and SBA data.

How much does a Travelodge - Exemptions franchise cost?

The total initial investment for a Travelodge - Exemptions franchise ranges from $227K to $11.0M, according to their Franchise Disclosure Document.

What are Travelodge - Exemptions franchise royalty fees?

Travelodge - Exemptions charges a 5% royalty fee on gross sales.

What is the Travelodge - Exemptions franchise fee?

The initial franchise fee for Travelodge - Exemptions is $35,000.

How many Travelodge - Exemptions franchise locations are there?

There are approximately 339 Travelodge - Exemptions franchise locations as of 2023.

How much profit does a Travelodge - Exemptions franchise make?

Profit data for Travelodge - Exemptions is disclosed in FDD Item 19 (Financial Performance Representation). Check their most recent Franchise Disclosure Document for current figures.

What is the SBA loan default rate for Travelodge - Exemptions?

SBA loan default rate data for Travelodge - Exemptions is not currently available in the SBA database.

Is a Travelodge - Exemptions franchise worth it?

Whether a Travelodge - Exemptions 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.

Similar Franchises · Travel

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Limited Data
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Sonesta RL Hotels Franchising Inc. (Red Lion)
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Questions to Ask Before You Sign

5 data-driven questions every Travelodge - Exemptions franchise buyer should ask.

  1. 1.What is Travelodge - Exemptions's SBA default rate compared to its competitors?Learn more →
  2. 2.Does Travelodge - Exemptions disclose Item 19 financial performance representations?Learn more →
  3. 3.What is the net unit growth trend over the past 3 years?Learn more →
  4. 4.What is the franchisee termination and transfer rate per Item 20?Learn more →
  5. 5.What do the FDD litigation disclosures (Item 3) reveal about franchisor legal history?Learn more →
Generate attorney questions for Travelodge - Exemptions →Validation call guide →
Data sourced from publicly filed Franchise Disclosure Documents (FDDs) submitted to state franchise regulators. SBA loan data from public SBA 7(a) records. Information reflects the most recent FDD filing in our database and may not reflect current terms. Always verify with the franchisor's current FDD before making any investment decision. Not legal or financial advice.

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