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Rates
Grandstay Hospitality

Grandstay Hospitality

The total investment to open a Grandstay Hospitality franchise ranges from $117,900 to $24.2M. The initial franchise fee is $35,000. Ongoing royalties are 5% plus a 2% advertising fee.

What is the Grandstay Hospitality franchise?

Grandstay Hospitality is a hotel business offering accommodations to travelers. The estimated total initial investment is $117,900 to $24,175,200, and the initial franchise fee is $35,000, according to the 2026 Franchise Disclosure Document.

The royalty is 5 percent of sales, and the advertising or brand fund fee is 2 percent. The franchise agreement term is 20 years.

Grandstay Hospitality is headquartered in the Minneapolis, Minnesota area. It was founded and began franchising in 2000.

Loan Activity Score

46/100

SBA Default Rate

0.0%

Active Lenders

4

According to its Franchise Disclosure Document or public business records, Grandstay Hospitality has 30 locations, all owned by franchisees. Public SBA loan records show 4 lenders made 4 loans to franchisees of Grandstay Hospitality. PeerSense calculates Grandstay Hospitality's score as 46 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2026 Franchise Disclosure Document.

Franchising since 2000 · 30 locations

Investment

$117,900 to $24.2M

Franchise Fee

$35,000

Total Units

30

30 franchised

Loan Activity Score
Low
46
SBA Lending
25
Lender Quality
5
Transparency
9
Reach
4
Momentum
3

Proprietary PeerSense metric

Fair
Capital Sources
4SBA lenders

Distinct lenders in public SBA records for Grandstay Hospitality

4

Total SBA loans

$1.2M

Average loan size

Source: public SBA 7(a) and 504 loan records through December 31, 2025

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SBA Lending Activity for Grandstay Hospitality

Loan Activity Score Breakdown

Emerging (3 to 9 loans)

Limited Data
46out of 100
Fair
Market Momentum3/35

Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.

Loan Safety25/25

Blended default rate (recent + all time) compared to NAICS sector peers.

Lender Confidence5/15

Quality lenders actively backing this brand, with penalty for lender pullback.

Transparency9/15

FDD availability, Item 19 disclosure, and overall data completeness.

Footprint4/10

Geographic spread of SBA funded locations across states.

SBA Lending Performance

SBA Default Rate

0.0%

vs 10.3% peer avg

SBA Loans

4

Total Volume

$4.7M

Active Lenders

4

States

3

vs. SBA Sector Average

+10.3%lower default rate

SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors

Key Highlights

Low SBA default rate (0.0%)

Data Insights

Key performance metrics for Grandstay Hospitality based on SBA lending data

SBA Default Rate

0.0%

10.3% below peer avg

SBA Loan Volume

4 loans

Across 4 lenders

Lender Diversity

4 lenders

Avg 1.0 loans per lender

Investment Tier

Premium investment

$117,900 to $24,175,200 total

Payment Estimator

Loan Amount$94K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$1,220

Principal & Interest only

Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.

Locations

Grandstay Hospitality, unit breakdown

Total Units
N/A
Franchisee Owned
n/a
System Owned
n/a
Closed
n/a

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1 FDD Available for Grandstay Hospitality

Review franchise fees, investment ranges, royalties, Item 19 financial data, and year over year trends. Request complimentary access through your PeerSense funding advisor.

Grandstay Hospitality

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 LinkedIn profileAbout Edward Freeman