222 | Flying Solo: What it takes to go from franchised to independent


Independent hotel supply in the U.S. has decreased in the past 10 years, reports STR.

The lodging-data company reports independently owned and operated hotels account for less than 40 percent of all hotels. About 1 percent of those close each year.

But that trend may take a turn.

It appears more and more hoteliers who have grown their companies with franchised brands are considering going independent.

We’re talking about entrepreneurs are converting existing branded properties into non-affiliated hotels.

The franchise contracts are approaching the end, and thanks to the internet, online distribution channels and sophisticated operating and marketing technologies, flying solo is no longer a day dream.

However, before lowering your brand flag, listen to the advice of three hoteliers who either have done it or are planning to do it.

You may discover that franchising is the best model for your business, after all.

In today’s episode, we talk to San Diego hoteliers Bobby Patel of Hotel Investment Group which has nine independent hotels, and Vipul Dayal of VNR Management who is converting a family-owned franchised property and writing a book about it.

We also hear from Timesh Patel of Ohm Culture Hotels in Inglewood, California, who, as he puts it, was “punched in the face” when he transitioned from franchised to independent.

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