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FranchiseVerdict

How Much Does a avid hotels Franchise Cost?

Data from the 2026 Franchise Disclosure Document

Investment Summary

Total Investment

$11.1M – $16.8M

Franchise Fee

$50K

Royalty

5.0%

Ad Fund

3.0%

Cost Breakdown

Initial Franchise Fee

The initial franchise fee for avid hotels is $50K. This one-time payment covers the right to operate under the brand, access to proprietary systems, and initial training programs.

Total Investment Range

Opening a avid hotels franchise requires a total investment of $11.1M – $16.8M. This range typically includes real estate or leasehold improvements, equipment and fixtures, initial inventory, signage, insurance, and working capital to sustain operations during the ramp-up period.

Working capital alone ranges from $100K to $175K.

Ongoing Costs

Beyond the initial investment, avid hotels franchisees pay ongoing fees. The royalty fee is 5.0% of gross sales (Gross Rooms Revenue). The advertising or brand fund contribution is 3.0% of gross sales. There is also a technology fee of $17.

Net Worth & Liquid Capital Requirements

avid hotels requires working capital of $100K – $175K to cover initial operating expenses. This is the liquid cash you should have available beyond the franchise fee and buildout costs.

What Can You Earn?

avid hotels does not disclose earnings data in Item 19 of its Franchise Disclosure Document. Not all franchisors choose to publish financial performance representations, though this is a data point many prospective franchisees consider important.

How Do Banks View avid hotels?

SBA Loans Issued

7

Default Rate

0.0%

The SBA (Small Business Administration) tracks loan performance for franchise brands. avid hotels has 7 SBA-backed loans on record. The default rate is 0.0%, which is below the franchise industry average, indicating relatively lower lending risk. A lower default rate generally indicates that lenders view the franchise as a safer investment, though past performance does not guarantee future results.

Next Steps

Talk to current avid hotels franchise owners

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See full avid hotels research

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Compare avid hotels to similar franchises

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