ECHO Suites Extended Stay by WyndhamFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A ECHO Suites Extended Stay by Wyndham franchise requires a total initial investment of $11.6M – $17.4M, including a $40K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $11.6M – $17.4M
- 41st pct Lodging
- Avg gross sales
- N/A
- 2nd pct Lodging
- Royalty
- 5.0%
- 4th pct Lodging
- Units
- 18
- 21st pct Lodging
- SBA default
- N/A
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
13 legal cases disclosed in the FDD. Read Item 3 before signing.
Bottom line
- Total investment $11.6M – $17.4M including a $40K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 60/100.
- 13 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
- WHR Extended Stay, LLC
- 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
Overview
About
Franchisees operate extended-stay hotel properties under the ECHO Suites brand, managing daily front-desk operations, housekeeping, maintenance, and guest services. They generate revenue through nightly room rates (subject to 5–5.5% royalty) and ancillary services while adhering to Wyndham brand standards and system protocols. Franchisees are responsible for labor, utilities, property maintenance, and local marketing within their protected territory.
- CEO
- Geoff Ballotti
- Headquarters
- NJ
- Founded
- 2007
- FDD year
- 2026
- States available
- 11
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $40K | $40K |
| Working capital (3–6 mo) | $63K | $94K |
| Equipment, build-out, other | $11.5M | $17.3M |
| Total initial investment | $11.6M | $17.4M |
Source: ECHO Suites Extended Stay by Wyndham 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $11.6M – $17.4M
- Near category avg vs category
- Liquid capital req'd
- $63K – $94K
- Better than avg vs category
- Franchise fee
- $40K – $40K
- Better than avg vs category
- Royalty
- 5.0%
- percentage_of_gross · 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 | $734 |
| Transfer fee | $35K |
| Renewal fee | $35K |
| Total fee load | 8.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Lodging averages
How ECHO Suites Extended Stay by Wyndham Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 18
- Opened
- 13
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- Outlier (see FDD)
- Likely small-sample artifact
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
ECHO Suites presents extreme risk: going concern franchisor, explosive unstable growth, multi-count litigation including price-fixing and antitrust allegations, no profitability disclosure, and $11.6M+ capital requirement with unvalidated returns.
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 60 / 100 rating
- 01HIGHGoing Concern status is FALSE — franchisor may lack financial stability to support franchisees
- 02MINORExplosive unit growth (260% YoY) with only 18 units suggests instability, not health; growth from ~7 to 18 units is unsustainable trajectory indicator
- 03HIGHMultiple active class action litigations (price-fixing, misleading fees, privacy violations, antitrust) expose franchisees to brand reputation and potential liability
- 04MINORNo average revenue or net income disclosure (Item 19) prevents validation of $11.6M–$17.4M investment ROI claims
- 05HIGHHigh capital requirement ($11.6M–$17.4M) paired with undisclosed profitability and going concern risk creates severe financial exposure
- 06MINORAntitrust class action (In Re Extended Stay Hotel) implicates entire franchisor business model and pricing practices
- 07HIGHLitigation where franchisor is plaintiff (LuxUrban breach of contract) suggests franchisor-franchisee relationship tension
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 |
| 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 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | New Jersey |
| Litigation count | 13 |
Items 10, 11
Training & Operations
- Classroom training
- 45 hrs
- On-the-job training
- 30 hrs
- POS system
- OPERA Cloud Foundation PMS
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: OPERA Cloud Foundation PMS
Item 20 · call current owners
Franchisee Contacts
15 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
ECHO Suites Extended Stay by Wyndham · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a ECHO Suites Extended Stay by Wyndham franchise?
The total investment to open a ECHO Suites Extended Stay by Wyndham franchise ranges from $11.6M – $17.4M, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do ECHO Suites Extended Stay by Wyndham franchise owners earn?
ECHO Suites Extended Stay by Wyndham 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 ECHO Suites Extended Stay by Wyndham's franchise failure rate?
SBA 7(a) loan charge-off data is not available for ECHO Suites Extended Stay by Wyndham (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many ECHO Suites Extended Stay by Wyndham franchise locations are there?
As of their most recent FDD filing, ECHO Suites Extended Stay by Wyndham has 18 total units in the United States, including 0 franchised units and 0 company-owned units. 13 new units were opened in the latest reporting year.
Is ECHO Suites Extended Stay by Wyndham a good franchise to buy?
FranchiseVerdict rates ECHO Suites Extended Stay by Wyndham as a B-grade franchise with a risk score of 60 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.