Start a Hilton Garden Inn Franchise in 2024

2024 Franchise 500 Rank: #33 Ranked #33 last year

Initial investment: $21.9M - $32.4M

Units as of 2024: 1,025 11.1% over 3 years

Hilton Garden Inn is part of the Hilton brand, which has a presence in over 90 countries. It is also one of the largest brands under the Hilton Worldwide umbrella. Its market positioning describes it as a mid-price hotel that offers an upscale guest experience.

Hilton Garden Inn was established in 1990 and opened its first franchise later that same year. The brand has grown rapidly to over 800 locations worldwide by expanding in Europe and America, with plans to expand into the Eastern markets soon.

Why You May Want to Start a Hilton Garden Inn Franchise

Hilton Garden Inn offers guests a variety of services, including rooms fitted with WiFi and work areas. Other extras in the rooms include an entertainment unit and amenities such as a kettle, microwave, and coffee machine. The hotel also has other shared amenities such as a business center and fitness room, vehicle parking, a foyer designed to look like a living room, etc.

Opening a Hilton Garden Inn franchise may have a more predictable outcome than investing in a completely new brand that may struggle to thrive in the already crowded and competitive hospitality industry.

Opening a Hilton Garden Inn franchise requires a franchisee with a bit of financial muscle. Additionally, the franchisee will need to be ready to run a business with international standards and requirements. If you are looking to grow your business acumen beyond local standards, then this franchise may be just what you need.

What Might Make a Hilton Garden Inn Franchise a Good Choice?

The Hilton Worldwide brand is known worldwide for delivering precisely what the guest expects. It prides itself on providing essential services and amenities to both business and leisure travelers.

Hilton Garden Inn has been ranked in Entrepreneur's Franchise 500 many times in the past two decades. This ranking is based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.

How To Open a Hilton Garden Inn Franchise

To be part of the Hilton Garden Inn team, you should make sure you're financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees.

Before making any financial commitment or signing an agreement, you must perform your due diligence and establish if this is the right opportunity for you. As part of your due diligence, you may want to speak to existing franchisees and ask the Hilton Garden Inn franchising team questions.

If you receive approval to start a Hilton Garden Inn franchise, the brand will provide you with extensive classroom training and on-the-job training. You will also receive ongoing support, marketing and technological support, field operations, the grand opening, and more.

It may be a good idea to speak with a financial advisor or attorney to ensure that you possess the necessary funds to own and operate a Hilton Garden Inn franchise.

Company Overview

About Hilton Garden Inn

Industry	Lodging
Related Categories	Hotels & Motels
Founded	1990
Parent Company	Hilton
Leadership	Christopher Nassetta, CEO
Corporate Address	7930 Jones Branch Dr. McLean, VA 22102
Social	Facebook, Twitter, Instagram

Business Overview

Franchising Since	1990 (34 years)
# of employees at HQ	8,397
Where seeking	This company is offering new franchises throughout the US. This company is offering new franchises worldwide.
# of Units	1,025 (as of 2024)

Information for Franchisees

Here's what you need to know if you're interested in opening a Hilton Garden Inn franchise.

Financial Requirements & Ongoing Fees

Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Initial Franchise Fee Definition: The initial fee paid to a franchisor to join their system What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.	$100,000
Initial Investment Definition: The total amount necessary to begin operation of the franchise What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.	$21,933,881 - $32,375,601
Veteran Incentives Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.	Varies
Royalty Fee Definition: A ongoing fee paid to the franchisor on a regular basis. What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.	5.5%
Ad Royalty Fee Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts. What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.	4%
Term of Agreement Definition: The length of time your franchise agreement will last. What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.	22 years
Is franchise term renewable?	Yes

Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

Third Party Financing	Hilton Garden Inn has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

On-The-Job Training	2 hours
Classroom Training	95-100 hours
Ongoing Support	Purchasing Co-ops Newsletter Meetings & Conventions Toll-Free Line Grand Opening Online Support Security & Safety Procedures Field Operations Proprietary Software Franchisee Intranet Platform
Marketing Support	Co-op Advertising Ad Templates National Media Regional Advertising Social Media SEO Website Development Email Marketing Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed?	No
Can this franchise be run from home/mobile unit? Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.	No
Can this franchise be run part time? Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.	No
# of employees required to run	35-50
Are exclusive territories available? Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened. What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.	No