One of the most recognized motel franchises is Motel 6, which opened its first establishment in 1962 in Santa Barbra, California. The two men who opened the first Motel 6 were Paul A. Greene and William W. Becker. By 1966, Motel 6 was generating $4 million in sales per year and continued to prosper until it was sold to an investor group in 1985. French hotel giant Accor S.A. purchased the rights to Motel 6 in 1990 for an estimated $1.3 billion. In 2012, Motel 6 will celebrate its 50th anniversary. The slogan, "We'll leave the light on for you" became the motels catchphrase.
The motel franchise would not exist if motels didn't exist in the first place. The first motel in the world was established in San Luis Obispo, California. Construction began on the motel in 1925 and was the brain-child of Los Angeles architect Arthur Heinemen. Originally named the Milestone Motel it is referred to today as the Motel Inn. Guests of the Milestone Motel paid $1.25 and for this fee received a two room bungalow with a kitchen and access to a parking garage and swimming pool. The Milestone Motel cost $80,000 to construct and still stands today in San Luis Obispo, halfway between Los Angeles and San Francisco.
According to CNNMoney.com, Super 8 Motel is one of the 10 most successful franchises as of 2010. The first Super 8 motel was established in Aberdeen, South Dakota in 1974. The name of the establishment was inspired by the rates they offered when they first opened. For only $8.88 per night, guests could check in to a room. CNNMoney.com states that only 4 percent of the Super 8 motels have failed since they were first introduced. As of 2010, there are close to 2,000 Super 8 locations scattered across North America.
Those looking to start their own motel franchise will of course need capital to do so. Capital can be gained through a loan, unless you have enough money in your bank account to fund the project yourself. You can either start a new chain or invest in an already established chain like Motel 6. The most important thing to remember is location. Always research the demand for a motel in a certain area before investing in one. For example, some motels may be located near major tourist attractions to provide accommodations for the guests. Look for stretches of highway that have a lot of traffic. If a location already has a slew of motels, it may not be the best location to open a new one.
