HardTop HotelFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A HardTop Hotel franchise requires a total initial investment of $116K – $206K, including a $50K franchise fee and an ongoing 8.0% royalty[2]. Per the 2026 FDD, average unit revenue was $780K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $116K – $206K
- 14th pct Automotive
- Avg gross sales
- $780K
- 8th pct Automotive
- Royalty
- 8.0%
- 25th pct Automotive
- Units
- 6
- 5th pct Automotive
- SBA default
- N/A
Quick verdict · Automotive · color = vs category peers
Green = >15% above Automotive 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
Each dollar invested generates 4.8x in gross revenue, well above the typical 1.5-2.5x range.
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
81% cash-on-cash return (based on P&L Bottom Line). Above the 20% threshold most investors target.
Bottom line
- Total investment $116K – $206K including a $50K franchise fee, 8.0% ongoing royalty.
- Average unit revenue of $780K/year, with an estimated 81% cash-on-cash return (based on P&L Bottom Line).
- Verdict A (Top Quintile) with a risk score of 39/100.
- Revenue data based on only 1 reporting unit. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- HARDTOP HOTEL LLC
- Parent company
- None
- Predecessor
- company
- Prior franchisor entity
- Incorporated in
- MA
- HQ
- 63 Middlesex Street, Suite 16, North Chelmsford, Massachusetts, 01863
- Auditor
- KEZOS & DUNLAVY
- Audited financials
- Franchisor revenue
- $19K
- vs $349K prior year
Overview
About
HardTop Hotel franchisees operate boutique hotel properties, managing day-to-day guest services, housekeeping, front desk operations, maintenance, and revenue management. Franchisees are responsible for staffing, guest satisfaction, occupancy rate optimization, and local marketing while adhering to brand standards and paying 8% of gross revenue in royalties.
- CEO
- Ryan Henry
- Founded
- 2024
- FDD year
- 2026
- States available
- 4
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $10K | $25K |
| Equipment, build-out, other | $56K | $131K |
| Total initial investment | $116K | $206K |
Source: HardTop Hotel 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$125K
16.0% margin
Unlevered ROIC
70%
EBITDA / total invested capital
Payback
17 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $116K – $206K
- Better than avg vs category
- Liquid capital req'd
- $10K – $25K
- Better than avg vs category
- Franchise fee
- $50K – $50K
- Better than avg vs category
- Royalty
- 8.0%
- percentage · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
- Payback period
- 1.2 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $95 |
| Transfer fee | $33K |
| Renewal fee | $5K |
| Total fee load | 9.0% of rev |
Financial Performance
- Avg gross sales
- $780K
- Per unit, per year
- Median gross sales
- N/A
- Avg p&l bottom line
- $131K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 81.2%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Affiliate Performance
- Sample size
- 1 units
- vs category median 70 · small
- Range (low → high)
- $780K→$780K
- Cohort dispersion (min → max)
- Transparency
- 9 / 5
- vs category median 4 / 5 · above
Compared against 221 Automotive brands
Revenue is 4.8x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Automotive averages
How HardTop Hotel Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 6
- Opened
- 5
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 83%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 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.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
HardTop Hotel presents meaningful caution risk due to franchisor going concern status, minimal unit count with unknown trajectory, and lack of transparent financial performance data.
Litigation (Item 3)
0 case reference(s): 3 pending, 0 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · KEZOS & DUNLAVY
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: Yes
Score breakdown · what drove the 39 / 100 rating
- 01HIGHGoing Concern status indicates franchisor financial distress or viability uncertainty
- 02MINOROnly 6 units with unknown growth trajectory suggests stagnant or contracting system
- 03MINORNo Item 19 financial performance representations limits ability to validate claimed $682k avg revenue
- 04MINORHigh royalty rate (8%) combined with capital intensity reduces franchisee margins
- 05MINORSignificant investment range ($116k-$206k) suggests inconsistent unit economics or hidden costs
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 | 7 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 3 |
| Territory type | Drive-time radius and geographic boundaries |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 5 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Massachusetts |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 3 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 10 hrs
- Training location
- On-site
- POS system
- OwnerAlly
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: OwnerAlly
Item 20 · call current owners
Franchisee Contacts
18 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
HardTop Hotel · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a HardTop Hotel franchise?
The total investment to open a HardTop Hotel franchise ranges from $116K – $206K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do HardTop Hotel franchise owners earn?
According to Item 19 of the HardTop Hotel FDD, the average gross sales per unit is $780K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is HardTop Hotel's franchise failure rate?
SBA 7(a) loan charge-off data is not available for HardTop Hotel (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 HardTop Hotel franchise locations are there?
As of their most recent FDD filing, HardTop Hotel has 6 total units in the United States, including 0 franchised units and 1 company-owned units. 5 new units were opened in the latest reporting year.
Is HardTop Hotel a good franchise to buy?
FranchiseVerdict rates HardTop Hotel as a A-grade franchise with a risk score of 39 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.