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FranchiseVerdict

How Much Does a Hampton by Hilton Franchise Cost?

Data from the 2026 Franchise Disclosure Document

Investment Summary

Total Investment

$17.0M – $29.1M

Franchise Fee

$100K

Royalty

6.0%

Ad Fund

4.0%

Cost Breakdown

Initial Franchise Fee

The initial franchise fee for Hampton by Hilton is $100K. 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 Hampton by Hilton franchise requires a total investment of $17.0M – $29.1M. 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 $500K to $900K.

Ongoing Costs

Beyond the initial investment, Hampton by Hilton franchisees pay ongoing fees. The royalty fee is 6.0% of gross sales (Gross Rooms Revenue). The advertising or brand fund contribution is 4.0% of gross sales.

Net Worth & Liquid Capital Requirements

Hampton by Hilton requires working capital of $500K – $900K 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?

Hampton by Hilton 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 Hampton by Hilton?

SBA Loans Issued

636

Default Rate

6.2%

The SBA (Small Business Administration) tracks loan performance for franchise brands. Hampton by Hilton has 636 SBA-backed loans on record. The default rate is 6.2%, 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

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