Bottom line
- Total investment $118K – $24.2M including a $35K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 61/100. SBA loan default rate of 0.0% across 4 loans (below the industry average).
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one GrandStay unit return on the cash you put in?
Unlevered ROIC · per unit
1%
Below typical band (30–60%)
Overview
About
GrandStay franchisees operate extended-stay hotel properties targeting travelers needing weekly or monthly accommodations. Day-to-day responsibilities include front desk operations, housekeeping management, guest services, maintenance, and revenue management to maximize occupancy and room rates while maintaining brand standards.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 4 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
GrandStay presents moderate-to-elevated risk due to undisclosed financial performance, minimal growth trajectory, unprotected territory, and inability to benchmark expected returns against peer franchisees.
Score breakdown · what drove the 61 / 100 rating
- 01MINORNo Item 19 financial performance disclosure (revenue and net income not provided) — impossible to validate ROI claims
- 02MINORExtreme investment range spread ($117,900 to $24.2M) suggests inconsistent unit economics or highly variable property costs
- 03MEDSlow unit growth at 6.7% YoY with only 32 total units indicates weak system momentum and limited franchisee success stories
- 04MINORUnprotected territory creates direct competition risk — franchisor can saturate your market without restriction
- 05MEDExtended 20-year term locks franchisees into relationship with limited flexibility for underperforming concepts
- 06MINOR5% royalty on gross (not net) revenues means profitability decreases as operational costs rise
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
26 numbers
One-time purchase · CSV download · Validation questions included
FDD download
GrandStay · FDD (2026) PDF