Super 8 Motel
Super 8 Motel
Loan failure rate: 4.6%
Number of loans: 87
Number of failed loans: 4

This motel got its name from the room rate it charged when it first opened in 1974: $8.88 a night.

From the start, the motel has aimed to be affordable for travelers.

Cendant Corp., Wyndham Worldwide's predecessor, bought the Super 8 franchise in 1993. Throughout North America and China, there are 2,185 properties with 137,260 rooms.

The motel's 8-point Promise includes complimentary high-speed Internet access and a continental breakfast. Some of the bigger franchises offer a business facility, a fitness center or a swimming pool.

Only four of the 87 SBA-backed loans failed between 2005 and 2010.

To convert a hotel into a Super 8 costs between $145,670 and $1.2 million. Building a brand new one ranges between $2.5 million to $3.5 million.


Source: Loan data is from the Small Business Administration, covering loans made from October 2005 through September 2010. Only those franchises for which the SBA backed 70 or more loans were included. A loan was counted as "failed" if the franchisor stopped repaying the loan and the SBA had to purchase -- or take over -- the loan.
Last updated June 16 2011: 12:24 PM ET

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