Park Inn by Radisson
Bottom line
- Total investment $256K – $1.3M including a $45K franchise fee, 5.5% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 75/100. SBA loan default rate of 0.0% across 7 loans (below the industry average).
- 60 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
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 Park Inn by Radisson unit return on the cash you put in?
Unlevered ROIC · per unit
11%
Below typical band (30–60%)
Overview
About
Park Inn by Radisson franchisees operate budget-to-midscale hotel properties under the Radisson brand, managing daily operations including front desk/housekeeping, guest services, revenue management, and marketing. Franchisees pay 5.5% royalties on gross room revenue while maintaining brand standards, managing local staff, and handling property-level P&L responsibility.
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 · 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 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
A severely contracting 4-unit system with active multi-party litigation, undisclosed financials, going concern questions, and demonstrated franchisor-franchisee conflict presents extreme operational and financial risk.
Score breakdown · what drove the 75 / 100 rating
- 01MINOROnly 4 units system-wide indicates severe contraction or failed brand expansion
- 02HIGHMultiple active litigations including class action, anti-competitive claims, and trade secret misappropriation suggest systemic operational/legal problems
- 03MINORNo Item 19 (Average Unit Volume) disclosure prevents ROI validation and suggests poor system performance
- 04HIGHGoing Concern status is FALSE, indicating franchisor financial viability questions
- 05MINORUnprotected territory creates direct competition risk from other franchisees
- 06MED5.5% royalty on undisclosed revenues with no profitability data creates revenue uncertainty
- 07MINORDiscriminatory practice allegations by franchisee group suggest franchisor-franchisee relationship breakdown
- 08MINORChoice Hotels' royalty recovery lawsuits indicate payment compliance issues across system
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
18 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Park Inn by Radisson · FDD (2024) PDF