Hilton Hotels & Resorts franchise
2023 filing · March 30, 2023Shares sales figures
Hilton Hotels & Resorts at a glance
Hilton's flagship full-service hotel brand, operated as Hilton hotels and resorts. At the end of 2022 there were 188 Hilton Hotels & Resorts locations in the US, all franchised.
The business
- Industry
- Hotel
- Franchisor
- Hilton Franchise Holding LLC
- The company that sells the franchises
- Franchisor based in
- McLean, Virginia
What you pay
- Cost to open
- $38.9M–$162.5M
- Typical 300-room hotel, excluding land
- Franchise fee
- $105,000
- $85,000 plus $400 for each room above 250; $105,000 for a 300-room hotel.
- Royalty
- 5%
- 5% of gross rooms revenue, paid monthly
- Brand fund
- Yes
- 4% of gross rooms revenue as a monthly program fee covering marketing, reservations and other system services
Where it is
- US locations, 2022
- 188
- Franchised and company-owned
- Franchised
- 188
- Company-owned
- 0
- States
- 34
- Most in California, Florida and Texas
From Hilton Franchise Holding LLC’s 2023 filing; revenue and net income from its audited financial statements, page 108; SBA status from the SBA Franchise Directory, October 28, 2026.
Franchisor revenue is the company that sells the franchises (royalties, fees and anything else it earns), not what a location makes.
Where it ranks
Hilton Hotels & Resorts among all franchises with the same figure.
| Figure | Hilton Hotels & Resorts | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $100,712,757 | Costs more than 100% of franchises |
| Franchise feePaid once, when you sign | $105,000 | Higher than 99% of franchises |
| RoyaltyShare of sales paid to the franchisor | 5% | Lower than 69% of brands with a set rate |
| US locationsFranchised and company-owned | 188 | More than 85% of franchises |
How much a Hilton Hotels & Resorts franchise costs
Opening typical 300-room hotel, excluding land costs an estimated $38,914,325 to $162,511,189. That covers the franchise fee and everything else needed to open, through the first months of working capital.
The biggest costs are construction and leasehold improvements ($21,000,000 to $110,000,000) and furniture, fixtures and equipment ($10,000,000 to $20,000,000). Here is every line of the estimate as filed:
| What it pays for | Range | Low | High |
|---|---|---|---|
| TO BE MADE Franchise Application Fee | $105,000 | ||
| Property Improvement Plan | $0 | $10,000 | |
| Construction and Leasehold Improvements | $21,000,000 | $110,000,000 | |
| Designer and Engineering Fees | $815,000 | $4,650,000 | |
| Furniture, Fixtures and Equipment | $10,000,000 | $20,000,000 | |
| Inventory and Operating Equipment | $1,650,000 | $3,500,000 | |
| Signage | $40,000 | $120,000 | |
| TO BE MADE Computer Hardware and Software | $150,695 | $344,905 | |
| Guest Internet Access Program | $136,500 | ||
| Delphi Sales and Events System | $990 | $41,000 | |
| Required Pre-Opening Training | $5,000 | $20,000 | |
| ADA Consultant Fee | $2,500 | $15,000 | |
| Construction/Renovation Extension Fees | $0 | $10,000 | |
| Organizational Expense | $75,000 | $268,724 | |
| Permits and Licenses | $310,000 | $1,600,000 | |
| Miscellaneous Pre-Opening and Project Management Expenses | $1,200,000 | $3,700,000 | |
| Contingencies | $2,100,000 | $11,000,000 | |
| Additional Funds | $1,300,000 | $1,900,000 | |
| Eforea Spa Initial Fee | $0 | $25,000 | |
| Additional Funds for Eforea Spa Implementation | $0 | $4,950,000 | |
| Other Required Pre-Opening Services Fees | $23,640 | $28,060 | |
| Total | $38,914,325 | $162,511,189 | |
Source: Hilton Franchise Holding LLC, 2023 filing, page 39
Hilton Hotels & Resorts franchise fee
The franchise fee is $105,000, $85,000 plus $400 for each room above 250; $105,000 for a 300-room hotel.. You pay it when you sign the franchise agreement.
Source: Hilton Franchise Holding LLC, 2023 filing, page 39
Royalty and ongoing fees
| Royalty | 5% of gross rooms revenue, paid monthly. |
|---|---|
| Brand or marketing fund | 4% of gross rooms revenue as a monthly program fee covering marketing, reservations and other system services. |
| Permitted Transfer Processing Fee | Currently, $5,500. |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: Hilton Franchise Holding LLC, 2023 filing, page 27
Other fees as filed, from page 32. The filing lists every fee, including late fees and audit costs.
Sales and earnings
Shares figures Hilton Hotels & Resorts publishes sales or earnings figures for its locations. The full tables, with notes on which locations are counted, are in its filing.
Source: Hilton Franchise Holding LLC, 2023 filing, page 82
SBA loans to Hilton Hotels & Resorts franchisees
Lenders approved 3 SBA-backed loans for Hilton Hotels & Resorts franchisees from 2017 to 2025, $6.52M in all: 1 7(a) loan and 2 504 loans. One has been paid in full; none was charged off. The other 2 haven’t ended yet.
A charged-off loan is one written off as uncollectible. See SBA franchise loans for how 7(a) and 504 loans work.
Source: SBA 7(a) and 504 loan data, as of September 30, 2026
How Hilton Hotels & Resorts compares
Of the 116 hotel franchises on this site, Hilton Hotels & Resorts is the 103rd cheapest to open and the 32nd largest by number of locations.
| Figure | Hilton Hotels & Resorts | Typical hotel brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $38.9M | $9.44M | $222K |
| Cost to open, high end | $162.5M | $21.3M | $477K |
| Franchise fee | $105K | $54K | $40K |
| Royalty | 5% | 5% | 6% |
| US locations | 188 | 37 | 21 |
| Change in franchised locations, 0 yrs | +3.9% | +9.2% | – |
| Shares earnings figures | Yes | 71 of 116 | 2,147 of 3,352 |
Typical is the median across the 116 brands in hotel franchises; typical franchise, across every brand here.
Locations opened and closed
| Year | Franchised | Company-owned |
|---|---|---|
| 2020 | 179 (−2) | 0 |
| 2021 | 188 (+9) | 0 |
| 2022 | 188 (0) | 0 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
See which brands grew most in the fastest-growing franchises rankings.
More in the guides: hotel franchise costs and franchise failure rates.
Source: Hilton Franchise Holding LLC, 2023 filing, page 86
Where Hilton Hotels & Resorts locations are
At the end of 2022, Hilton Hotels & Resorts had franchised locations in 36 states and territories. The most are in California, Florida and Texas.
- California24
- Florida23
- Texas19
- Virginia10
- Missouri9
- Arizona8
| State | Franchised |
|---|---|
| California | 24 |
| Florida | 23 |
| Texas | 19 |
| Virginia | 10 |
| Missouri | 9 |
| Arizona | 8 |
| Tennessee | 8 |
| Illinois | 7 |
| New York | 7 |
| North Carolina | 7 |
All 36 states
Source: Hilton Franchise Holding LLC, 2023 filing, page 87
Who owns Hilton Hotels & Resorts?
Hilton Hotels & Resorts franchises are sold by Hilton Franchise Holding LLC. It is a subsidiary of Hilton Domestic Operating Company.
Hilton Hotels & Resorts is one of the 15 Hilton brands here. Hilton Worldwide Holdings is a public company based in McLean, Virginia. Its shares trade on the New York Stock Exchange as HLT.
From Hilton Franchise Holding LLC’s 2023 filing, page 9; SEC.
Lawsuits and bankruptcy
| Lawsuits and regulatory actions | Yes. The filing describes past or pending cases involving the franchisor, its affiliates or its executives on pages 18–22. |
|---|---|
| Bankruptcy | None. The filing says no bankruptcy has to be disclosed. |
Franchisors must disclose lawsuits and bankruptcies involving the company, its parents and affiliates, and its executives. Many cases are routine disputes with franchisees over fees or contracts; read the descriptions in the filing and ask current owners about anything that worries you.
Source: Hilton Franchise Holding LLC, 2023 filing, litigation on pages 18–22, bankruptcy on page 22
Hilton Hotels & Resorts filings
The figures on this page come from Hilton Franchise Holding LLC’s 2023 filing, issued March 30, 2023, on record with the NASAA Electronic Filing Depository.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2023 filing | March 30, 2023 | NASAA depository | Costs, fees and locations, 2020–2022 |
Each link opens the filing as a PDF. See the newest filings across all brands.
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