Which has more SBA loans, Best Western or Econo Lodge?

Best Western has 882 SBA 7(a) historical approvals; Econo Lodge has 794. Best Western has the deeper public lender track record, which generally translates into faster pre-qualification and broader lender familiarity.

What is the default rate for Best Western vs Econo Lodge SBA loans?

Best Western's SBA default rate is 9.0%, versus 7.1% for Econo Lodge. Econo Lodge has the cleaner loss profile, which capital sources weigh when pricing the next deal in the brand.

When did Best Western and Econo Lodge peak in SBA lending volume?

Best Western's SBA approval peak was 2016 with 53 loans; Econo Lodge's peak was 2021 with 44. A more recent peak (currently Econo Lodge) generally indicates fresher lender appetite and easier financing today.

Which states have the most Best Western and Econo Lodge SBA loans?

Best Western leads in TX with 161 SBA-funded units; Econo Lodge leads in CA with 54. The brand that matches your operating state typically closes faster because local lenders already know the unit economics.

Side by Side Comparison

Best Western vs Econo Lodge

Q: Which is a better franchise investment, Best Western or Econo Lodge?

Best Western vs Econo Lodge: compare initial investment, royalty rate, unit count, SBA lending history, default rate, and PeerSense FPI score side by side. The right answer depends on your capital, target market, and risk tolerance, not on which brand ranks higher in a list.

Q: How much does a Best Western franchise cost compared to Econo Lodge?

Best Western requires a total initial investment of $510K to $2.8M while Econo Lodge requires $470K to $2.8M. Econo Lodge has the lower minimum capital commitment. Franchise fee, royalty percentage, and advertising fees vary independently, see the comparison table below for the full FDD breakdown.

Quick Answer

Best Western vs Econo Lodge: Best Western costs $510K to $2.8M to open; Econo Lodge costs $470K to $2.8M. Best Western has 702 units, Econo Lodge has 606. SBA loan history: Best Western = 882 loans (9.0% default); Econo Lodge = 794 loans (7.1% default). The franchise with more SBA funded units, a lower SBA default rate, and a lower royalty load is the safer financing bet; see the comparison below.

Best Western vs Econo Lodge: Capital, Scale & Lending Analysis

Analysis based on FDD filings and SBA 7(a) loan level data. Each pairing reflects a unique combination of capital intensity, system scale, and financing path.

Capital Intensity

Econo Lodge requires the lower minimum capital commitment ($470K vs $510K for Best Western), a 9% spread. Initial franchise fees come in at $50K for Best Western versus $25K for Econo Lodge, Econo Lodge has the lower entry fee.

System Scale & Tenure

On scale, Best Western operates 702 units to Econo Lodge's 606. Best Western has been operating 80 years (founded 1946) versus 57 for Econo Lodge (founded 1969), a 23-year tenure gap that affects unit-economics maturity and FDD revision history.

SBA Lending Profile

Best Western has the deeper SBA lending track record, with 882 7(a) approvals compared with 794 for Econo Lodge. Best Western's peak SBA year was 2016 (53 loans); Econo Lodge's peak was 2021 (44 loans). Econo Lodge's more recent peak generally indicates fresher lender appetite. Best Western has the most SBA funded units in TX, with 161. Econo Lodge leads in CA, with 54. Borrowers should pick the brand whose strongest SBA state matches their own state for warmer lender introductions. Average SBA loan size on funded Best Western deals is $1.4M vs $1.2M for Econo Lodge, useful as a sizing anchor when modeling your own unit.

Risk Signal

SBA default rates are 9.0% for Best Western and 7.1% for Econo Lodge, Econo Lodge has the cleaner SBA loss record by 1.9 points. PeerSense FPI scores come in at 41 (Fair) for Best Western and 68 (Strong) for Econo Lodge, giving Econo Lodge the stronger composite signal across SBA performance, lender appetite, and operational consistency.

Best Western

Hotels

Econo Lodge

Hotels

68 8W

Health & Performance

FPI Score	41/100	68/100
Health Tier	Fair	Strong
Confidence	N/A	N/A
Lending Trend	Declining	Declining

SBA Lending

SBA Loans	882	794
SBA Volume	–	–
Default Rate	9.0%	7.1%
Peer Tier	major	major

Investment & Costs

Total Investment	$510K to $2.8M	$470K to $2.8M
Franchise Fee	$50K	$25K
Royalty Rate	N/A	6%
Ad Fund	N/A	7.9%
Liquid Capital	N/A	$2.0M
Net Worth Required	N/A	N/A

Financial Performance (Item 19)

Item 19 Status

Not Disclosed

System Size & Operations

Total Units	702	606
Franchised Units	702	606
Company Owned	–	–
Term Length	N/A	N/A

Brand Information

Year Founded	1946	1969
Franchising Since	1960	1960
Years Franchising	66 yrs	66 yrs
Headquarters	Phoenix, AZ	Rockville, MD
Category	Hotels	Hotels
Website	bestwestern.com	choicehotels.com
FDD Year	2021	2023

Which Is Better, Best Western or Econo Lodge?

Lower upfront capital required

Econo Lodge

Best Western: $510K starting · Econo Lodge: $470K starting

More SBA lender confidence

Best Western

Best Western: 882 SBA loans · Econo Lodge: 794 SBA loans

Lower SBA default rate

Econo Lodge

Best Western: 9.0% · Econo Lodge: 7.1%

Larger system & brand presence

Best Western

Best Western: 702 units · Econo Lodge: 606 units

More lender financing options

Best Western

Best Western: 275 unique lenders · Econo Lodge: 246 unique lenders

Decision matrix uses publicly disclosed FDD and SBA loan data. Not a recommendation. Your best franchise depends on capital, market, operating capacity, and risk tolerance.

Franchise Financing

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About These Franchises

Best Western

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Econo Lodge

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Best Western vs Econo Lodge: Franchise Funding Comparison

Comparing Best Western and Econo Lodge is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $470K to $2.8M.

Best Western has 882 SBA loans on record and Econo Lodge has 794. Those totals are cumulative history rather than a measure of current appetite. Recent lending activity is trending down for at least one of these brands, so current lender appetite has to be checked deal by deal rather than assumed from the totals.

SBA 7(a) loans are the most common franchise funding vehicle, offering up to $5M with as little as 10% down. PeerSense connects franchise buyers with the specific lenders who have approved loans for these brands, not generic referrals, but lenders with actual franchise lending track records.

Data sourced from SBA loan records, Franchise Disclosure Documents, and public filings. Updated regularly. Not financial advice, consult with a lending professional before making investment decisions.

SBA Loan Guide Franchise Funding Options Best SBA Franchise Lenders All Franchises Talk to PeerSense

Best Western vs Econo Lodge, Frequently Asked Questions

Which is a better franchise investment, Best Western or Econo Lodge?

Compare Best Western vs Econo Lodge franchise costs, FDD data, royalty rates, unit counts, and SBA lending history side by side above. The best franchise depends on your capital, market, and risk tolerance, not a single ranking. Use the decision matrix above to see which brand wins on each financing dimension.

How much does a Best Western franchise cost compared to Econo Lodge?

Best Western requires $510K to $2.8M in total initial investment with a $50K franchise fee. Econo Lodge requires $470K to $2.8M with a $25K franchise fee. All numbers come from official Franchise Disclosure Document filings.

Can I finance Best Western or Econo Lodge with an SBA loan?

Both brands appear on the SBA Franchise Directory and have funded SBA 7(a) loans: Best Western has 882 SBA loans on record; Econo Lodge has 794. SBA 7(a) is the most common franchise financing vehicle, offering up to $5M with 10% down. PeerSense routes your deal to lenders who have already approved the brand.

Which has a lower SBA default rate, Best Western or Econo Lodge?

Best Western: 9.0% SBA default rate. Econo Lodge: 7.1% SBA default rate. Lower default rates mean lenders quote tighter rates and underwrite faster.

Compare Best Western to other franchises Compare Econo Lodge to other franchises Browse all Hotels franchises

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Page Review

Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense

PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
Edward L. Freeman founded PeerSense in January 2020.
He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page

Last reviewed October 2, 2026LinkedIn profile About Edward Freeman