Red Roof Inns
- Red Roof Franchising, LLC
- RRI
605 S. Front St.
Columbus, OH 43215
-
(800) 733-7663
/
(614) 744-2611
- (614) 225-5328 (Fax)
Red Roof Inn was incorporated by founder James R. Trueman in 1972. Its first Inn opened in Columbus, Ohio, with a single room rate of $8.50 in 1973. Today, Red Roof Inn has more than 325 locations, serves millions of guests each year and employs over 6,000 people. Over the last 30 years, the lodging company's commitment to quality growth has contributed to the creation of the Red Roof Inn identity, which represents value, consistency, and excellent service. Red Roof Inn will continue to grow through franchising, acquisitions and new development.
Franchisor Background
Year Established: 1972
Franchising Since: 1996
Operating Units
| Franchised Units |
134 |
37.7% |
| Company-Owned Units |
221 |
62.3% |
| Total Operating Units |
355 |
100% |
Geographic Distribution
| USA |
355 |
100.0% |
In 43 States
|
| Canada |
0 |
0.0% |
In 0 Provinces
|
| International |
0 |
0.0% |
In 0 Foreign Countries
|
| Total |
355 |
100% |
|
Multi-Unit Operators
| Multi-Unit Operators |
N/A |
| Franchises Owned by Multi-Unit Operators |
N/A |
North American Unit Density
| Density |
Units |
| Ohio |
35 |
| Florida |
22 |
| Texas |
21 |
Registered in the following Registration States
California, Florida, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, Wisconsin, District of Columbia
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Support and Training
General Information
| IFA Member |
Yes |
| CFA Member |
No |
| Franchisee Association? |
Yes, is a member |
| Size of Corporate Staff |
130 |
Site Selection
Assistance |
No |
| Lease Negotiation Assistance |
No |
| Financial Assistance |
No |
Marketing Support
| Co-Op Advertising |
Yes |
| National Advertising |
Yes |
| Regional Advertising |
No |
| Local Advertising |
No |
| Other Marketing Support |
Owner's Orientation, Manager's Orientation |
Ongoing Support
| Central Data Processing |
Included |
| Central Purchasing |
Yes, at additional cost |
| Field Operation Evaluation |
Included |
| Field Training |
Included |
| Initial Store Opening |
Yes, at additional cost |
| Inventory Control |
N/A |
| Franchisee Newsletter |
Included |
| Regional or National Meetings |
Yes, at additional cost |
| 800 Telephone Hotline |
Included |
Training
| Columbus, OH for Owner's Orientation |
2 Days |
| Columbus, OH for Manager Orientation |
2 Weeks |
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Financial Requirements
Investment
| Minimum Net Worth |
$1.5MM |
| Cash Investment |
$100-500K |
| Total Investment |
$3.7-4.9MM |
| Average Total Investment |
$4.3MM |
Fees
| Initial Franchise Fee |
$30K |
| Average Franchise Fee |
$30K |
| On-Going Royalty |
4.50% |
| Average Royalty |
4% |
| Advertising Fee |
4% |
Site Information and Requirements
| Average Number of Full-Time Employees |
2-4 |
| Average Number of Part-Time Employees |
4-10 |
| Space Needs (in square feet) |
15,000+
|
| Preferred Site Types |
Free Standing Building
|
| Encourages Conversions |
Yes |
| Item 19 (Earnings Claim) Provided? |
Yes |
| Listed in the SBA Registry? |
No |
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Franchisee Qualifications
| Financial Net Worth |
4 |
| General Business Experience |
4 |
| Specific Industry Experience |
1 |
| Formal Education |
1 |
| Psychological Profile |
1 |
| Personal Interviews |
3 |
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Terms of Contract
| Term of Initial Contract |
15/20 |
| Term of Renewal Period |
10 |
| Passive Ownership? |
Allowed, but discouraged |
Area Development
Agreements? |
No
|
Sub-Franchisor
Contracts? |
No |
| Franchisees Allowed to Expand Within Territory? |
No |
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Expansion Plans
| Projected New Units Over Next 12 Months |
15 |
| USA |
Yes, All United States |
| Canada |
Yes, All Canada |
| Overseas |
No |
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