Microtel Inn & Suites by Wyndham Franchise Cost, Revenue & Review 2026
- Investment
- $7.5M – $9.6M
- Disclosed sales
- partial, no system average
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Microtel Inn & Suites by Wyndham is a limited-service, economy-to-midscale hotel franchise of new-construction properties. Franchisees develop and operate individual hotels, running rooms and guest services on Wyndham's systems.
FranchiseVerdict summary · 2026
A Microtel Inn & Suites by Wyndham franchise requires a total initial investment of $7.5M – $9.6M, including a $40K franchise fee and an ongoing 6.0% royalty[2]. The 2026 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $7.5M – $9.6M
- 37th pct Lodging
- Avg gross sales
- N/A
- Outlet subsetProjection
- Royalty
- 6.0%
- 53rd pct Lodging
- Units
- 280
- 56th pct Lodging
- SBA charge-off
- N/A
Quick verdict · Lodging · color = vs category peers
Green = favorable by >10% vs Lodging median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $7.5M – $9.6M including a $40K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 19 reports ADR/Occupancy/RevPAR metrics (not gross sales) rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict B (Above average), verdict score 64/100 (higher is better).
- GROWTHNegative: net -5 franchised outlets in the latest year (3 opened, 8 closed); 71 signed but not yet open (Item 20).
- LEGAL15 litigation matters disclosed in Item 3, higher than typical. Of these, 2 name the franchisor itself, 13 its parent, affiliates or predecessor. Pending claims are allegations, not findings.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Microtel Inns and Suites Franchising, Inc.
- Parent company
- U.S. Franchise Systems, Inc. (USFS); Wyndham Hotel Group, LLC; Wyndham Hotels & Resorts, Inc.
- FDD Item 1, page 9 of the 2026 FDD
- Ultimate parent
- Wyndham Hotels & Resorts, Inc.
- FDD Item 1, page 9 of the 2026 FDD
- CEO title
- President and Chief Executive Officer
- Geoff Ballotti
- Incorporated in
- GA
- HQ
- 22 Sylvan Way, Parsippany, New Jersey 07054
- Auditor
- Deloitte & Touche LLP
- Audited financials
- Franchisor revenue
- $1.4B
- vs $1.4B prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
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).
Same owner · FDD Item 1, page 9
16 other brands on this site name Wyndham Hotels & Resorts, Inc. as parent or ultimate parent in their own FDD.
- AmericInnA
- Arise Suites Extended Stay by WyndhamC
- Baymont Inn & SuitesA
- Days InnB
- Dazzler SelectC
- ECHO Suites Extended Stay by WyndhamB
- Hawthorn Extended Stay by WyndhamA
- La Quinta by WyndhamA
- RamadaC
- Registry Collection HotelsC
- TRYP by WyndhamB
- Trademark Collection by WyndhamA
- WaterWalk Extended Stay by WyndhamB
- Wingate by WyndhamB
- Wyndham GardenB
- Wyndham GrandB
Grouped by the owner's name as each filing prints it (this page: the 2026 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Geoff Ballotti
- Headquarters
- NJ
- Founded
- 1995
- FDD year
- 2026
- States available
- 42
Can you afford it, and what does the money buy?
Entry cost is about typical for a lodging franchise (near the category median).
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $40K | $40K |
| Working capital (3–6 mo) | $118K | $184K |
| Equipment, build-out, other | $7.4M | $9.3M |
| Total initial investment | $7.5M | $9.6M |
Source: Microtel Inn & Suites 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
- $7.5M – $9.6M
- Top 40% of category vs category
- Liquid capital req'd
- $118K – $184K
- Top 40% of category vs category
- Franchise fee
- $40K – $40K
- Top 40% of category vs category
- Royalty
- 6.0%
- typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Training fee | $5K |
| Transfer fee | $40K |
| Renewal fee | $40K |
| Inventory (initial) | $276K – $299K |
| Total fee load | 8.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Microtel Inn & Suites by Wyndham is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Microtel Inn & Suites by Wyndham unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Reported for a subset of outlets rather than the whole system
An occupancy metric, not unit revenue
- Item 19 type
- ADR/Occupancy/RevPAR metrics (not gross sales)
- Sample size
- 141
- vs category median 98
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
Compared against 175 Lodging brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% (near the Lodging median).
Disclosure
Item 19 reports ADR/Occupancy/RevPAR metrics (not gross sales) rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System contracting at -4.4% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Lodging medians
How Microtel Inn & Suites by Wyndham Compares
Category median of published Lodging brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 280
- Opened
- 3
- Last reporting year
- Closed
- 8
- Turnover rate
- 2.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -4.4%
- Net unit change over 3 years
- 3-yr CAGR
- -4.4%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Signed, not yet open
- 71
- 0.25 per open outlet · Item 20 Table 5
- Projected new
- 18
- Franchisor's next-year forecast
- Transfer rate
- 3.1%
- Owners selling to other franchisees
- Termination rate
- 0.3%
- Franchisor-initiated terminations
- Ceased ops
- 3.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 42 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
42
states with franchisees (per FDD Item 12)
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.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Declining system with undisclosed unit economics, multiple legal liabilities, and no financial benchmarking data creates elevated risk for an $8M+ hotel investment.
Why this reads harsher than the B grade: the grade weighs financial health, unit economics, unit growth, scale, legal, and transparency across the whole filing, while this summary lists individual flags without that weighting. The flags are worth checking with current owners; neither is investment advice.
Litigation (Item 3)
Subject: the franchisor is a named party (plaintiff).
No pending litigation against the Franchisor. Nine pending cases against parents/affiliates include Canadian class actions (price-fixing/hotel fee), franchisee breach cases, and extended stay antitrust litigation. One resolved case named MISF directly (New Mexico). One pending indemnification suit filed by MISF and affiliates against franchisees.
Largest disclosed settlement: $7,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Deloitte & Touche LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 21/Exhibit D references audited consolidated financial statements of parent Wyndham Hotels & Resorts, Inc. (auditor PCAOB ID No. 34). Only the index page (F-1) appears in the extracted text; balance sheet, income statement, and equity pages (F-2 to F-9) were not captured, so no figures are available.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 64 / 100 verdict
- 01MINORDeclining unit count (-1.8% YoY) indicates system contraction and potential saturation or performance issues
- 02HIGHMaterial litigation disclosed involving price-fixing, fee transparency, breach of contract, and data security—suggests franchisor governance and legal compliance concerns
- 03MINORHigh capital requirement ($7.5M-$9.6M) combined with 6% royalty creates substantial fixed costs with unvalidated revenue potential
- 04MINOR20-year term locks franchisee into relationship with litigious franchisor; exit costs likely high given capital intensity
Severity inferred from the FDD text · not a regulatory classification
Litigation case detail15 matters · Item 3
Litigation cases
The franchisor
Concluded (1)
Presidential Hospitality, LLC, Ace Development, Inc. and Sam Blue v. Wyndham Hotel Group, LLC, Baymont Inn & Suites Franchise Systems, Inc. and Microtel Inn and Suites Franchising, Inc.
settledBrought by a franchisee · filed 2017-09-12 · State of New Mexico, County of San Juan, Eleventh Judicial District Court (transferred to and consolidated with the NJ Action, U.S. District Court for the District of New Jersey) · D-1116-CV-2017-01329
“Presidential Hospitality, LLC, Ace Development, Inc. and Sam Blue v. Wyndham Hotel Group, LLC, Baymont Inn & Suites Franchise Systems, Inc. and Microtel Inn and Suites Franchising, Inc., State of New Mexico, County of San Juan, Eleventh Judicial District Court, (Case D-1116-CV-2017-01329). Plaintiffs were parties to a license agreement and guaranty with Microtel Inn and Suites Franchising, Inc.”Page 24 of the 2026 FDD, Item 3
Outcome:“In September 2018, plaintiffs agreed to settle both the New Jersey Action and the New Mexico Action, with payment to the Wyndham Entities, and both actions were dismissed with prejudice.”
Status not stated in the filing (1)
Wyndham Hotels & Resorts, Inc.; Microtel Inns & Suites Franchising, Inc.; and Days Inns Worldwide, Inc. v. Naniatma, LLC; Sudhir Modi; Shilpa Modi; Gita Hospitality, LLC; Anil Raman Parag; Ambe Maa, Inc.; Praful Patel; Shree Rama Inc.; Shobhanaben Topiwala (A/K/A Shobhna Topiwala); Sureshchandra Top
Brought against a franchisee · filed 2025-10-16 · United States District Court for the District of New Jersey · 2:25-cv-16692
“Litigation Against Franchisees Commenced in the Past Fiscal Year Litigation Against Franchisees for Indemnification: Caption Date Complaint Filed Court Docket Number Wyndham Hotels & Resorts, Inc.; Microtel Inns & Suites Franchising, Inc.; and Days Inns Worldwide, Inc. v. 10/16/2025 United States District Court 2:25-cv- 16692”Page 25 of the 2026 FDD, Item 3
Parent, affiliates and predecessor
Pending (9)
Benoit v. Integrated Decision and Systems Inc. et al.
pendingThird-party plaintiff · Wyndham Hotels & Resorts, Inc. and Wyndham Hotels & Resorts Canada, Inc. · filed 2026 · Cour Supérieure du Québec · 200-06-000274-251
“Benoit v. Integrated Decision and Systems Inc. et al. (Cour Supérieure du Québec, Case No. 200-06- 000274-251). In January 2026, Patrick Benoit filed a proposed class action against SAS Institute (Canada), Inc., SAS Institute Inc., Integrated Decisions and Systems, Inc (“IDeaS”), Accor Management Canada Inc., Choice Hotels International, Inc., Choice”Page 20 of the 2026 FDD, Item 3
Beard Real Estate Holding Two, LLC v. Travelodge Hotels, Inc. and Wyndham Hotels and Resorts, Inc.
pendingBrought by a franchisee · Travelodge Hotels, Inc. and Wyndham Hotels and Resorts, Inc. · filed 2025-08-04 · Circuit Court of Chicot County, Arkansas, Civil Division · 09-cv-25-119
“Beard Real Estate Holding Two, LLC v. Travelodge Hotels, Inc. and Wyndham Hotels and Resorts, Inc. (Circuit Court of Chicot County, Arkansas, Civil Division; Case No. 09-cv-25-119). On August 4, 2025,”Page 21 of the 2026 FDD, Item 3
Jantunen v. SAS Institute (Canada) Inc., et al.
pendingThird-party plaintiff · Wyndham Hotels & Resorts, Inc. and Wyndham Hotels & Resorts Canada, Inc. · filed 2025-12-05 · Supreme Court of British Columbia · VLC-S-S-259245
“Jantunen v. SAS Institute (Canada) Inc., et al. (Supreme Court of British Columbia, Case No. VLC-S-S- 259245). On December 5, 2025, Evelyn Jantunen and John Jantunen sued SAS Institute (Canada), Inc., SAS Institute Inc., Integrated Decisions and Systems, Inc (“IDeaS”), Accor Management Canada Inc., Accor S.A., APA Canada, Inc.,”Page 21 of the 2026 FDD, Item 3
Proulx et al. v. Orsini Bros. Inns Inc. et al.
pendingThird-party plaintiff · Wyndham Hotels & Resorts Canada, Inc. and Wyndham Hotels & Resorts, Inc. (amended to remove Wyndham Hotels & Resorts, Inc. and add Wyndham Hotel Group Canada, ULC) · filed 2025-07-08 · Ontario Superior Court of Justice · CV-25-00000000-00CP
“Proulx et al. v. Orsini Bros. Inns Inc. et al. (Ontario Superior Court of Justice, CV-25-00000000-00CP). On July 8, 2025, plaintiffs Patrick Proulx, Gordon Vanwestern, Boris Susac, and John Martin filed a proposed class action against Carmelo Niagara Company LTD. (d/b/a Wyndham Fallsview Hotel), Wyndham Hotels”Page 21 of the 2026 FDD, Item 3
Tumas Raju Patel and Kalpesh Solanki v. Wyndham Hotels and Resorts, Inc., Wyndham Hotel Group, and Super 8 Worldwide, Inc.
pendingBrought by a franchisee · Wyndham Hotels and Resorts, Inc., Wyndham Hotel Group, and Super 8 Worldwide, Inc. · filed 2025-12-02 · United States District Court, Central District of California · CV25-03815
“Tumas Raju Patel and Kalpesh Solanki v. Wyndham Hotels and Resorts, Inc., Wyndham Hotel Group, and Super 8 Worldwide, Inc. (United States District Court, Central District of California; Case No. CV25- 03815). On December 2, 2025, Plaintiffs filed suit against Wyndham Hotels and Resorts, Inc., Wyndham Hotel Group, and Super 8 Worldwide, Inc. (the “Wyndham Entities”) alleging that the Wyndham”Page 22 of the 2026 FDD, Item 3
Hanson Dai, et al. v. SAS Institute, Inc., et al.
pendingThird-party plaintiff · Wyndham Hotels & Resorts, Inc. · filed 2024-04-26 · United States District Court, Northern District of California · 4:24-cv-02537
“Hanson Dai, et al. v. SAS Institute, Inc., et al. (United States District Court, Northern District of California, Case No. 4:24-cv-02537). On April 26, 2024, Plaintiffs Hanson Dai, Max Chiswick, Adolph Robles, Steven Stack, Matthew Gilbert, Michael Molinaro, Tony Qian, and Mark Lester (the “Original Plaintiffs”) filed a purported class action suit against SAS Institute, Inc., Integrated Decisions”Page 23 of the 2026 FDD, Item 3
In Re Extended Stay Hotel Antitrust Litigation
pendingThird-party plaintiff · Wyndham Hotels & Resorts, Inc. · filed 2024-07-24 · United States District Court, Northern District of California · 4:24- cv-09060-JSW
“In Re Extended Stay Hotel Antitrust Litigation (United States District Court, Northern District of California, Case No. 4:24- cv-09060-JSW). On July 24, 2024, Plaintiffs Andy Au, Karen Austin, Mignon Bacon, Sha-Quwana Boyd, Amanda Casnave, Charlotte Daniels, Trista McRae, Nadia Moreno, Andrew Rivers, Salimu Scott, Elizabeth Suriano, Matthias Will and Cynthia Wright (the “Original Plaintiffs”)”Page 22 of the 2026 FDD, Item 3
Wyndham Hotel Group, LLC, TMH Worldwide, LLC, Travelodge Hotels, Inc, and Baymont Franchise Systems, Inc. v. LuxUrban Hotels, Inc., LuxUrban RE Holdings LLC, CorpHousing RSL LLC, and Brian Ferdinand
pendingBrought against a franchisee · Wyndham Hotel Group, LLC, TMH Worldwide, LLC, Travelodge Hotels, Inc. and Baymont Franchise Systems, Inc. · filed 2024-05-16 · The Superior Court of New Jersey, Morris County · MRS-L-000977-24
“Wyndham Hotel Group, LLC, TMH Worldwide, LLC, Travelodge Hotels, Inc, and Baymont Franchise Systems, Inc. v. LuxUrban Hotels, Inc., LuxUrban RE Holdings LLC, CorpHousing RSL LLC, and Brian Ferdinand (The Superior Court of New Jersey, Morris County, Case No. MRS-L-000977-24). On May 16, 2024, as amended on November 14, 2024, Wyndham Hotel Group, LLC, TMH Worldwide, LLC, Travelodge Hotels, Inc.,”Page 22 of the 2026 FDD, Item 3
Norma Knuth v. Wyndham Worldwide Corporation, et al.
pendingThird-party plaintiff · Wyndham Worldwide Corporation, Wyndham Hotel Group, LLC, Days Inns Worldwide, Inc., Ramada Worldwide Inc., Super 8 Worldwide, Inc., Travelodge Hotels, Inc., and Wingate Inns International, Inc. · filed 2014-12-05 · Court of Queen’s Bench for Saskatchewan, Judicial Centre of Regina · QBG-2650/2014
“Norma Knuth v. Wyndham Worldwide Corporation, et al. (Court of Queen’s Bench for Saskatchewan, Judicial Centre of Regina, QBG-2650/2014). On December 5, 2014, Plaintiff Norma Knuth filed a class action suit as a representative of all “persons, corporations, and entities, resident or situated in Canada . . . that paid a “Destination Marketing Fee” to a hotel in Canada owned, operated, or managed”Page 23 of the 2026 FDD, Item 3
Concluded (4)
Jay Brodsky v. Hilton Worldwide Inc., et al.
settledThird-party plaintiff · Wyndham Hotels · filed 2018-08-20 · United States District Court for the District of New Jersey · 2:18-cv-13045-KM-JBC
“Jay Brodsky v. Hilton Worldwide Inc., et al. (United States District Court for the District of New Jersey, Case 2:18-cv-13045-KM-JBC). On August 20, 2018, plaintiff Jay Brodsky filed an individual lawsuit against numerous hotel industry companies, including “Wyndham Hotels” Plaintiff alleged a per se violation of the Sherman Antitrust Act (in the form of bid rigging and a group boycott),”Page 24 of the 2026 FDD, Item 3
Outcome:“Defendants jointly settled for $7,000 payment ($1,400 as to Wyndham Hotels) to Mr. Brodsky on February 22, 2019, resulting in a dismissal of the action.” (page 25)
Thomas Luca, Jr. v. Wyndham Worldwide Corporation, et al.
settledThird-party plaintiff · Wyndham Hotel Group, LLC and Wyndham Hotels and Resorts, LLC (Wyndham Worldwide Corporation and Wyndham Hotel Management, Inc. dismissed) · filed 2016-06-06 · United States District Court for the Western District of Pennsylvania · 2:16-cv-00746-MRH
“Thomas Luca, Jr. v. Wyndham Worldwide Corporation, et al. (United States District Court for the Western District of Pennsylvania, Case 2:16-cv-00746-MRH). On June 6, 2016, Plaintiff Thomas Luca, Jr. filed a class action lawsuit against defendants Wyndham Worldwide Corporation, Wyndham Hotel Group, LLC, Wyndham Hotels and Resorts, LLC and Wyndham Hotel Management, Inc. (the “Wyndham Entities”).”Page 24 of the 2026 FDD, Item 3
Outcome:“Wyndham Hotel Group and Wyndham Hotels and Resorts, LLC entered into a settlement agreement with Plaintiff whereby a class was certified for settlement purposes and eligible class members will receive either $22 or 2,200 Wyndham Rewards points, and Wyndham will make certain display changes. The Court granted preliminary approval on October 18, 2019, and granted final approval on February 24, 2020.”
FTC v. Wyndham Worldwide Corporation, et al.
dismissedGovernment or regulatory action · Wyndham Worldwide Corporation, Wyndham Hotel Group, LLC, Wyndham Hotels and Resorts, LLC and Wyndham Hotel Management, Inc. · filed 2012-06-26 · United States District Court for the District of New Jersey · 13-cv-1887 (ES)(JAD)
“FTC v. Wyndham Worldwide Corporation, et al. (United States District Court for the District of New Jersey, Case No. 13-cv-1887 (ES)(JAD)). On June 26, 2012, the U.S. Federal Trade Commission (“FTC”) filed a lawsuit in Federal District Court for the District of Arizona against Wyndham Worldwide Corporation, Wyndham Hotel Group, LLC, Wyndham Hotels and Resorts, LLC and Wyndham Hotel Management,”Page 25 of the 2026 FDD, Item 3
Outcome:“The parties settled the case by executing a Stipulated Order for Injunction, which does not hold the Wyndham Entities liable for any violations, nor require it to pay any monetary relief. The Court entered the Order and dismissed the case with prejudice on December 11, 2015.”
Joyce Roberts, individually and on behalf of classes of similarly situated individuals v. Wyndham International, Inc., Wyndham Worldwide Operations, Inc., Wyndham Hotels and Resorts, LLC & Does 1- 10
settledThird-party plaintiff · Wyndham International, Inc., Wyndham Worldwide Operations, Inc., and Wyndham Hotels and Resorts, LLC · filed 2012-07-17 · Superior Court of the State of California, County of Santa Cruz · RG 12639589
“Joyce Roberts, individually and on behalf of classes of similarly situated individuals v. Wyndham International, Inc., Wyndham Worldwide Operations, Inc., Wyndham Hotels and Resorts, LLC & Does 1- 10 (Superior Court of the State of California, County of Santa Cruz (RG 12639589). On July 17, 2012, a purported class action complaint was filed against Wyndham International, Inc., Wyndham Worldwide”Page 25 of the 2026 FDD, Item 3
Outcome:“The parties reached a settlement before the class certification motion hearing took place, which had been scheduled for September 1, 2015, and thereafter executed a settlement agreement. The Court granted final approval of the settlement and entered an order on the same, dismissing the lawsuit, on October 27, 2016.”
Item 3 lists the litigation the franchisor must disclose; a matter against a parent, an affiliate or a named officer is not a matter against the franchisor, and pending claims are allegations, not findings.
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Allowed renewalsℹ | 0 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | No |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Termination groundsℹ | 4 |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | No |
| Arbitration location | New Jersey (Morris County or US District Court for NJ); non-binding mediation available |
| Jury trial waiver | Yes |
| Governing law | NJ |
| Litigation count | 15 |
View Item 3 litigation summary
No pending litigation against the Franchisor. Nine pending cases against parents/affiliates include Canadian class actions (price-fixing/hotel fee), franchisee breach cases, and extended stay antitrust litigation. One resolved case named MISF directly (New Mexico). One pending indemnification suit filed by MISF and affiliates against franchisees.
Items 10, 11
Training & Operations
- Classroom training
- 34 hrs
- On-the-job training
- 0 hrs
- Training location
- Corporate designated location (Parsippany, NJ) or online (hybrid or virtual-only)
- Ongoing training
- Required
- Site selection
- Franchisee selects, Franchisor approves
- Franchisor financing
- Offered
- Item 10
- POS system
- SynXis Property Hub (Aven Hospitality) or OPERA Cloud (Oracle Hospitality)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: SynXis Property Hub (Aven Hospitality) or OPERA Cloud (Oracle Hospitality)
Item 20 · call current owners
Franchisee Contacts
274 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Microtel Inn & Suites by Wyndham franchise?
The total investment to open a Microtel Inn & Suites by Wyndham franchise ranges from $7.5M – $9.6M, 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 Microtel Inn & Suites by Wyndham franchise owners earn?
Item 19 of the Microtel Inn & Suites by Wyndham FDD discloses figures for part of the system but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Microtel Inn & Suites by Wyndham?
Microtel Inn & Suites by Wyndham is franchised by Microtel Inns and Suites Franchising, Inc.. Its parent company is U.S. Franchise Systems, Inc. (USFS); Wyndham Hotel Group, LLC; Wyndham Hotels & Resorts, Inc.. The ultimate parent named in the FDD is Wyndham Hotels & Resorts, Inc.. Source: FDD Item 1, 2026 filing.
What is Item 19 in the Microtel Inn & Suites by Wyndham FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Microtel Inn & Suites by Wyndham FDD and qualifies whose outlets they describe.
What is Microtel Inn & Suites by Wyndham's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Microtel Inn & Suites 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 Microtel Inn & Suites by Wyndham franchise locations are there?
As of their most recent FDD filing, Microtel Inn & Suites by Wyndham has 280 total units in the United States, including 280 franchised units and 0 company-owned units. 3 new units were opened in the latest reporting year.
Is Microtel Inn & Suites by Wyndham a good franchise to buy?
FranchiseVerdict rates Microtel Inn & Suites by Wyndham as a B-grade franchise with a verdict score of 64 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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
Are you the franchisor?
If you represent Microtel Inn & Suites by Wyndham, you can request corrections or provide updated information.
Other Lodging franchises
Compare similar franchise opportunities in the Lodging category
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.