Cambria Suites
With an award winning design, sophisticated style, and upscale amenities, Cambria Suites has set a new standard for the lifestyle segment. It delivers one of the best designed hotel prototypes in its segment. The economical development cost and efficient operational model are helping to make Cambria Suites a competitive hotel investment option in the upscale segment. As a 100% new construction, all-suites hotel brand, Cambria Suites is perfectly suited for urban, airport, and mixed-use markets.
Cambria Suites’ support is property-specific and tailored to the franchisees hotel. Cambria Suites guides franchisees through strategic planning and execution to position and manage their hotels efficiently and effectively. It also provide franchisees with the tools and knowledge to help franchisees to achieve peak performance and promote long-term equity for the Cambria Suites brand.
| |
Operating Units |
12/31/2008 |
12/31/2009 |
12/31/2010 |
|---|
| | Franchised |
12 |
18 |
23 |
| | % Change | -- |
50% |
27.8% |
| | Company-Owned |
0 |
0 |
0 |
| | % Change | -- |
-- |
-- |
| | Total |
12 |
18 |
23 |
| | % Change | -- |
50% |
27.8% |
| | Franchised as % of Total |
100% |
100% |
100% |
Investment Required
The initial fee for a Cambria Suites franchise is $500 per room with a minimum of $50,000.
Cambria Suites provides the following range of investments required to open your initial franchise. The range assumes that all items are paid for in cash. To the extent that you choose to finance any of these expense items, your front-end investment could be substantially reduced.
| |
Item | Established Low Range | Established High Range |
| |
Initial Franchise/Affiliation Fee |
$500/room, $60,000 minimum |
$500/room, $60,000 minimum |
|
Architectural Plans & Inspections |
$150,000 |
$250,000 |
|
Architectural Meeting Travel Cost |
$1,000 |
$2,000 |
|
Soil Tests |
$3,750 |
$14,000 |
|
Legal Fees |
$10,000 |
$45,000 |
|
Environmental Impact Study |
$0 |
$20,000 |
|
Market Study |
$10,000 |
$15,000 |
|
Travel |
$0 |
$35,000 |
|
Construction |
$70,000/room |
$90,000/room |
| |
Insurance, Construction |
$25,000 |
$75,000 |
| |
Salaries |
$60,000 |
$150,000 |
|
Pre-Opening Advertising |
$50,000 |
$100,000 |
|
Professional Online Hotel Photography |
$450 minimum |
$450 minimum |
|
Furniture, Fixtures & Equipment |
$12,000/room |
$15,000/room |
|
choiceADVANTAGE Systems |
$24,250 |
$32,250 |
|
Insurance, General Liability |
$45,000 |
$60,000 |
|
Insurance, Workers Compensation |
$5,000 |
$45,000 |
|
Opening Inventories of Supplies |
$1,500/room |
$3,000/room |
|
Owners Orientation Fee |
$750 |
$750 |
| |
General Manager Leadership Program Fee |
$2,250 |
$2,250 |
| |
Pre-Opening Training Certification |
$7,500 |
$7,500 |
|
Director of Sales Training Fee |
$1,500 plus travel related expenses |
$1,500 plus travel related expenses |
|
High Speed Internet Access |
$21,400 |
$34,000 |
|
Food & Beverage Retail POS System |
$16,000 |
$30,000 |
|
Business Center Solution System |
$5,900 for a 2 workstation solution |
$5,900 for a 2 workstation solution |
|
Sales Account Management and Sales Activity Software |
$1,500 for site license and set-up |
$1,500 for site license and set-up |
|
Hotel Service Pro System |
$750 for set-up |
$750 for set-up |
|
Music System |
$31,000 |
$45,000 |
|
Scent System |
$1,200 |
$1,700 |
| |
Mandatory On-Premise Signs |
$20,000 |
$80,000 |
| |
Working Capital Required Before Operations Begin |
$215,000 |
$275,000 |
|
Additional Funds (3 Months) |
$100,000 |
$175,000 |
| |
Total Initial Investment |
$10,973,200 |
$14,636,050 |
Ongoing Expenses
Cambria Suites franchisees pay ongoing royalty fees equal to 5% of the preceding month’s gross room revenues, plus choiceADVANTAGE support fee $483 per month.
What You Get—Training and Support
Proper training is critical to cost-efficient operations and to assist in establishing long-term performance for franchisees’ hotels. Cambria Suites emphasizes ongoing, brand-specific education and training for franchisees and their hotel management and staff in sales, service and operations, with easy-to-access, self-paced training, as well as classroom and interactive online training.
As a Cambria Suites franchisee, Cambria Suites empower franchisees with the support of innovative and award-winning marketing initiatives at the local level. Cambria Suites also provides one-on-one support to help develop a hotel-specific plan for effectively pricing, selling and marketing hotels, and include strategies for every segment of the market and focus on each of the franchisee’s top target accounts.
Territory
Cambria Suites does not grant exclusive territories.
Note: The tables and information regarding the number of operating units, investment required, on-going expenses, training and territory grants were taken from the company’s 2011 FDD. The 2011 write-ups will be incorporated into the 2011 Edition of Bond’s Hottest New Franchises publication.
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