FRANCHISE·WATCH·DESK

Verified — real FDD extraction

WOODSPRING SUITES

Other · independent · est. —

WoodSpring Suites is an economy extended-stay hotel brand in the Choice Hotels family. A franchisee develops and operates a new-build hotel with kitchenette-equipped rooms, serving guests who stay by the week or month.

WOODSPRING SUITES net unit count grew +20.9% from 20232025 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Proven & strong

Distress

0
STABLE

Enough units and history to judge, and the record is good: growing or stable units with clean exits by the standards of its disclosed record. The standout in the record: owners who leave mostly sell rather than fail.

Exit rate · latest year

0.0%

fiscal 2025, per Item 20

Cost to open

$8.8M–$14.6M

Item 7 total investment range

SBA loan defaults

No loan record

no SBA 7(a)/504 loans found for this brand

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Strong
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Strong
Transfer / churn15%

transfers vs. base · Table 3

Fair
Promise-keeping10%

actual vs. projected openings · Table 5

Strong
Transparency15%

Item 19 disclosure + completeness

Strong

Systemwide units

2023–2025

+20.9%
235202325620242842025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 0 of 256 franchised outlets left the system — a 0.0% annualized exit rate. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202320242025
Outlets at start212235256
Opened242528
Transfers151020
Terminations020
Non-renewals000
Reacquired by franchisor000
Ceased — other reasons120
Outlets at end235256284
Net change+23+21+28

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $50K franchise fee (Item 5) and a total investment of $8.8M–$14.6M (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.

To open (Item 7)

$8.8M–$14.6M

all-in investment range

Franchise fee (Item 5)

$50K

upfront, one-time

Royalty (Item 6)

6%

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — cross-check against this brand's Item 19 and current-owner validation.

Royalty you'd pay / yr

$60K

6% of sales, before profit

Over a 10-yr term

$600K

royalties alone, excl. ad fund

This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.

Build a real pro-forma for WOODSPRING SUITES with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for WOODSPRING SUITES. That's a good sign — but it reflects news coverage, not a guarantee.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing WOODSPRING SUITES's numbers, including talking you out of a bad deal.

Talk to an independent CPA before you buy →

WOODSPRING SUITES franchise questions, answered from the filings

What percentage of WOODSPRING SUITES franchises closed last year?

In WOODSPRING SUITES's latest FDD Item 20 (fiscal 2025), 0 of 256 franchised outlets left the system — an annualized exit rate of 0.0%. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a WOODSPRING SUITES franchise cost?

Per WOODSPRING SUITES's 2026 FDD, buying in requires an initial franchise fee of $50K (Item 5) and a total initial investment of $8.8M–$14.6M (Item 7).

What royalty does WOODSPRING SUITES charge?

WOODSPRING SUITES charges an ongoing royalty of 6.0% of gross sales, per Item 6 of its 2026 FDD.

Does WOODSPRING SUITES disclose earnings (Item 19)?

Yes — WOODSPRING SUITES makes a financial performance representation in Item 19 of its 2026 FDD, reporting a median unit volume of $2.1M. Read it closely: franchisors choose which units and which metrics to include.

Is WOODSPRING SUITES a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk