Baymont Inn & SuitesFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Baymont Inn & Suites franchise requires a total initial investment of $232K – $10.8M, including a $26K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 1.5% charge-off rate across 84 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $232K – $10.8M
- 14th pct Lodging
- Avg gross sales
- N/A
- 2nd pct Lodging
- Royalty
- 5.0%
- 4th pct Lodging
- Units
- 547
- 48th pct Lodging
- SBA default
- 1.5%
- system-wide median varies by category
Quick verdict · Lodging · color = vs category peers
Green = >15% above Lodging avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Only 1.5% of 84 SBA loans charged off, well below the 16% franchise average.
24 legal cases disclosed in the FDD. Read Item 3 before signing.
Bottom line
- Total investment $232K – $10.8M including a $26K franchise fee, 5.0% ongoing royalty.
- Item 19 discloses "Historical RevPAR and ADR" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict A (Top Quintile) with a risk score of 10/100. SBA loan charge-off rate of 1.5% across 84 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- 24 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Baymont Franchise Systems, Inc.
- Parent company
- Wyndham Hotels & Resorts, Inc.
- Incorporated in
- DE
- HQ
- 22 Sylvan Way, Parsippany, New Jersey 07054
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $1.4B
- vs $1.4B prior year
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- WSSI
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Baymont franchisees operate limited-service hotel properties (typically 2-4 stories) in mid-market segments, managing daily operations including front desk, housekeeping, maintenance, and guest services. Revenue comes primarily from nightly room rates; franchisees must pay 5% of gross room revenues to the franchisor regardless of net profitability and comply with brand standards for renovations, technology, and marketing fees.
- CEO
- Geoff Ballotti
- Headquarters
- NJ
- Founded
- 2006
- FDD year
- 2026
- States available
- 43
FDD Item 7 · 2026 filing · 19 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Fee (inclusive of Application Fee)not refundable | $26K | $26K | |
| Photosnot refundable | $3K | $5K | |
| Training Tuitionnot refundable | $6K | $7K | |
| Training Expensesnot refundable | $3K | $6K | |
| Market Studynot refundable | $5K | $15K | |
| Real Estate and Site Preparation | — | — | |
| Architecture, Design and Engineering, Phase I Environmental, Permits, Licenses, Deposits and Related Feesnot refundable | $238K | $426K | |
| Facility Constructionnot refundable | $6.1M | $8.4M | |
| Construction Contingencynot refundable | $305K | $420K | |
| Technology Systemsnot refundable | $53K | $55K | |
| Property Management Set-Up and Installationnot refundable | $6K | $22K | |
| Furniture, Fixtures and Equipmentnot refundable | $588K | $606K | |
| Signagenot refundable | $20K | $80K | |
| Opening Inventorynot refundable | $222K | $244K | |
| Insurancenot refundable | $23K | $80K | |
| Grand Opening Advertisingnot refundable | $3K | $15K | |
| Pre-Opening Wagesnot refundable | $83K | $149K | |
| Miscellaneous Non-Tangible Asset Costsnot refundable | $19K | $37K | |
| Additional Funds for 3 Month Initial Periodnot refundable | $111K | $177K | |
| Total initial investment | $7.8M | $10.8M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $232K – $10.8M
- Better than avg vs category
- Liquid capital req'd
- $111K – $186K
- Better than avg vs category
- Franchise fee
- $26K – $26K
- Better than avg vs category
- Royalty
- 5.0%
- Gross Room Revenues · typical 6–8%
- Ad fund
- 3.5%
- typical 3–5%
- Total fee load
- 8.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 3.5% of gross sales |
| Technology fee | $1K |
| Transfer fee | $26K |
| Renewal fee | $26K |
| Inventory (initial) | $222K – $244K |
| Total fee load | 8.5% of rev |
Financial Performance
This brand's FDD disclosed "Historical RevPAR and ADR" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Lodging averages
How Baymont Inn & Suites Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 547
- Opened
- 32
- Last reporting year
- Closed
- 32
- Turnover rate
- 5.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +1.5%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 44
- Closed (3yr)
- 27
- Terminated (3yr)
- 2
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 25
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 42
- Franchisor's next-year forecast
- Termination rate
- 7.1%
- Franchisor-initiated terminations
- Ceased ops
- 96.4%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 21 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 84
- Loan volume
- $184.6M
- Median loan
- $2.0M
- 50th percentile
- Charge-off rate
- 1.5%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 98.5%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 47
- Defaults
- 1
Vintage analysis
Baymont Inn & Suites charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Baymont Inn & Suites's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 6-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
With a 1.5% charge-off rate across 84 loans, banks have historically viewed this brand favorably for lending.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Baymont presents meaningful caution-level risk due to aggressive litigation portfolio, absent financial transparency, and unknown system growth dynamics that prevent accurate ROI assessment.
Litigation (Item 3)
4 case reference(s): 2 pending, 0 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 10 / 100 rating
- 01MEDNo Item 19 financial performance data disclosed — cannot validate 5% royalty impact or actual profitability across 547 units
- 02HIGHActive litigation including breach of contract suits against franchisees, price-fixing class actions, and Destination Marketing Fee disputes suggest systemic franchisor-franchisee conflicts
- 03MINORWide investment range ($232K-$10.7M) with no average revenue/net income makes ROI modeling impossible and suggests high variability in unit performance
- 04MINORUnknown unit growth trajectory for 547-unit system raises questions about market saturation, franchisee retention, and brand momentum
- 05MINOR5% royalty on gross room revenues is typical but punitive if occupancy rates or ADR are declining — no disclosure allows franchisor to take fixed percentage regardless of profitability
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | Negotiated Area |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | No |
| Termination notice | 30 days |
| Termination groundsℹ | 3 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | New Jersey |
| Litigation count | 24 |
View Item 3 litigation summary
4 case reference(s): 2 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 77 hrs
- On-the-job training
- 30 hrs
- Training location
- On-site and corporate
- Site selection
- franchisee
- Franchisor financing
- Offered
- Item 10
- POS system
- SynXis or OPERA
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: SynXis or OPERA
Item 20 · call current owners
Franchisee Contacts
98 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Baymont Inn & Suites · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Baymont Inn & Suites franchise?
The total investment to open a Baymont Inn & Suites franchise ranges from $232K – $10.8M, with an initial franchise fee of $26K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Baymont Inn & Suites franchise owners earn?
Baymont Inn & Suites does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Baymont Inn & Suites's franchise failure rate?
Based on SBA 7(a) loan data, Baymont Inn & Suites has a charge-off rate of 1.5% across 84 loans, meaning 1.5% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Baymont Inn & Suites franchise locations are there?
As of their most recent FDD filing, Baymont Inn & Suites has 547 total units in the United States, including 539 franchised units and 0 company-owned units. 32 new units were opened in the latest reporting year.
Is Baymont Inn & Suites a good franchise to buy?
FranchiseVerdict rates Baymont Inn & Suites as a A-grade franchise with a risk score of 10 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.