InterContinental Hotels & ResortsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A InterContinental Hotels & Resorts franchise does not disclose total investment in its current FDD, including a $100K franchise fee and an ongoing 6.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $100K
- 3rd pct Lodging
- Avg gross sales
- N/A
- 2nd pct Lodging
- Royalty
- 6.0%
- 39th pct Lodging
- Units
- 21
- 23rd 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
Franchised units fell from 21 to 20 over 3 years. Investigate why operators are leaving.
69 legal cases disclosed in the FDD. Read Item 3 before signing.
Bottom line
- Total investment $100K including a $100K franchise fee, 6.0% ongoing royalty.
- Item 19 discloses "Average Performance of Mature Hotels" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict F (Bottom Quintile) with a risk score of 88/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Holiday Hospitality Franchising, LLC
- Parent company
- Six Continents Hotels, Inc.
- Incorporated in
- DE
- HQ
- Three Ravinia Drive, Suite 100, Atlanta, Georgia 30346
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $20.5M
- vs $26.1M prior year
Affiliated brands
- Six Continents Limited
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate full-service luxury hotel properties under the InterContinental Hotels & Resorts brand, managing guest accommodations, food and beverage operations, conference facilities, and ancillary services. Daily operations include housekeeping, front desk, concierge, restaurant management, and compliance with corporate brand standards while remitting 6% of room revenue and 2% of F&B revenue as ongoing royalties.
- CEO
- Elie W. Maalouf
- Headquarters
- GA
- Founded
- 1989
- FDD year
- 2024
- States available
- 12
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $100K
- Better than avg vs category
- Liquid capital req'd
- N/A
- Near category avg vs category
- Franchise fee
- $100K – $150K
- Near category avg vs category
- Royalty
- 6.0%
- Gross Rooms Revenue and Food & Beverage Sales · typical 6–8%
- Ad fund
- 3.0%
- typical 3–5%
- Total fee load
- 26.1%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 3.0% of gross sales |
| Technology fee | $17 |
| Transfer fee | $100K |
| Inventory (initial) | $3.3M – $4.8M |
| Total fee load | 26.1% of rev |
Financial Performance
This brand's FDD disclosed "Average Performance of Mature Hotels" 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 InterContinental Hotels & Resorts Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 21
- Opened
- 0
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 95%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
3-year detail · Item 20
- Closed (3yr)
- 0
- Terminated (3yr)
- 1
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 1
- Reacquired (3yr)
- 0
- Franchisor bought back
- Termination rate
- 5.0%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 14 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.
Available to sell in · Item 12
- California
- Hawaii
- Illinois
- Indiana
- Maryland
- Michigan
- Minnesota
- New York
- North Dakota
- Rhode Island
- South Dakota
- Virginia
- Washington
- Wisconsin
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 6 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 6
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
This is a HIGH RISK franchise opportunity featuring a severely contracted hotel system (21 units) plagued by litigation, going concern warnings, and complete financial opacity, making it unsuitable for most investors.
Litigation (Item 3)
0 case reference(s): 2 pending, 0 settled.
Bankruptcy (Item 4)
Disclosed in last 7 years
Bankruptcy Code; (b) obtained a discharge of its debts under the bankruptcy code; or (c) was a principal officer of a company or a general partner in a partnership that either filed as a debtor (or had filed against it) a petition to start an action under the U.S. Bankruptcy Code or that obtained a
Audited financials (Item 21)
Yes · PricewaterhouseCoopers 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 88 / 100 rating
- 01HIGHGoing concern status is FALSE — indicates potential solvency or operational viability issues at corporate level
- 02HIGHExtensive litigation history including breach of contract, unpaid franchise fees, and class actions suggests systemic franchisor-franchisee relationship problems
- 03MINOROnly 21 units with unknown growth trajectory suggests system contraction or stagnation in a major hotel brand
- 04MINORNo financial disclosure (avg revenue, net income, Item 19) prevents validation of ROI claims and franchisee profitability
- 05MINORUnprotected territory combined with high royalty burden (6% rooms + 2% F&B) creates direct competition risk within same system
- 06MINOR20-year term lock-in with no territorial protection creates long-term exposure to system cannibalization
- 07HIGHTrademark disputes mentioned in litigation history raises questions about brand integrity and legal standing
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 |
| Protected territory | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | Yes |
| RoFR response window | 10 days |
| Termination notice | 30 days |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Georgia |
| Litigation count | 69 |
View Item 3 litigation summary
0 case reference(s): 2 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 93 hrs
- On-the-job training
- 432 hrs
- Training location
- On-site and corporate
- Site selection
- franchisee
- Franchisor financing
- Offered
- Item 10
- POS system
- Oracle Opera
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Oracle Opera
Item 20 · call current owners
Franchisee Contacts
23 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
InterContinental Hotels & Resorts · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
What do InterContinental Hotels & Resorts franchise owners earn?
InterContinental Hotels & Resorts 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 InterContinental Hotels & Resorts's franchise failure rate?
SBA 7(a) loan charge-off data is not available for InterContinental Hotels & Resorts (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 InterContinental Hotels & Resorts franchise locations are there?
As of their most recent FDD filing, InterContinental Hotels & Resorts has 21 total units in the United States, including 21 franchised units and 1 company-owned units.
Is InterContinental Hotels & Resorts a good franchise to buy?
FranchiseVerdict rates InterContinental Hotels & Resorts as a F-grade franchise with a risk score of 88 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.
For franchisors
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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.