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The Red Collection franchise — is it worth it?

Travel & hospitality · FDD-based assessment · registered 2026

Medium risk Significant turnover

The Red Collection is a travel and hospitality brand with a relatively small current footprint of five outlets.

Everything below is free, read straight off The Red Collection's registered filing. The $99 report is the part a single FDD can't give you: the fee and churn detail, and where every number lands against travel & hospitality peers.

Get the full report — $99what's inside ↓
Total initial investment
$222,875 – $1,611,250
Below the travel & hospitality median · median $3,666,283
Initial franchise fee
FDD Item 5
Royalty
4.5%
FDD Item 6
Item 19 earnings
Not disclosed
no franchisor earnings
Litigation (Item 3)
Disclosed
in Item 3
Outlet network
5 units
flat last year
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The numbers above tell you what The Red Collection discloses. The report tells you whether that's good:

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Figures above are as disclosed in The Red Collection's most recent FDD (registered 2026). Source: Wisconsin Dept. of Financial Institutions — Franchise Registration · filing 640920 — check it yourself. The Item 19 figures, where each number ranks against peers, and the litigation & churn detail are in the full report.

The Red Collection franchise profit — what the FDD discloses

Plainly: The Red Collection does not disclose franchise profit or revenue. Its most recent FDD makes no Item 19 financial performance representation, so there is no franchisor-backed earnings figure for The Red Collection — any number quoted elsewhere is an estimate, not a disclosure. The absence is itself worth weighing (many travel & hospitality franchisors do disclose), and the full report reads the risk signals The Red Collection's FDD does contain — fees, litigation, and outlet churn — against peers. For brands that put earnings on paper, see Hotel, travel & hospitality franchises with disclosed Item 19 earnings.

The Red Collection lawsuits & legal history (FDD Item 3)

The Red Collection's most recently filed Franchise Disclosure Document (2026) does disclose legal proceedings in Item 3 . Item 3 is the item where a franchisor must put its material legal history on the record. Two things it is not: it covers the franchisor and its predecessors, parents and affiliates, so a disclosed case is not necessarily a suit against The Red Collection itself; and a disclosure is a fact, not a finding of wrongdoing — most entries are contract disputes with former franchisees, which every large system accumulates. The full The Red Collection report lists each case with what it was about and how it ended, separates franchisee disputes from corporate and securities matters, and flags the ones a franchisee started — the split that actually matters, because franchisees suing their franchisor is the signal a buyer is looking for.

The Red Collection closures & failure rate

Before you sign, The Red Collection will hand you a list of current owners to call as references — and they choose who's on that list. It won't include the owners who quit, got bought out, or were forced out last year. The FDD does report that number, even though the reference list leaves those people off. Below is what The Red Collection's most recent filing shows, and whether it's normal for a travel & hospitality of this kind.

The closest thing an FDD has to a failure rate is Item 20 — outlet openings, closures, terminations and non-renewals, reported by the franchisor. The Red Collection's latest tables show significant franchisee turnover. The actual closure and termination counts, and how The Red Collection's churn ranks against travel & hospitality peers, are in the full report.

The full The Red Collection report — $99

What the fee, litigation and churn signals imply, every number ranked against travel & hospitality peers, and the litigation and churn detail — delivered instantly, yours to keep.

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Who owns The Red Collection?

The Red Collection's franchise is offered by The Red Collection, LLC — the franchisor named on the cover of its most recently filed Franchise Disclosure Document (2026), and the entity a franchisee actually signs with. That name comes straight off the filing at WI DFI; it identifies the franchisor, not necessarily the ultimate parent company behind it.

Travel & hospitality franchises at a similar investment level

Anyone weighing The Red Collection is really weighing it against the other brands their money could go into. These are the closest by total initial investment (FDD Item 7), each with its own FDD-based page.

Nautical Boat Club$396,700 – $697,000 · Item 19 disclosedMembership Hotel Organization$58,900 – $1,247,995Casago$23,000 – $1,287,000Affordable Suites of America$193,100 – $1,765,100 · Item 19 disclosedRestpoint Inn$211,875 – $1,986,445Cobblestone Hotel & Suites$94,999 – $2,351,007 · Item 19 disclosedCobblestone Hotel & Suites$101,999 – $2,382,999 · Item 19 disclosedCamp Jellystone$324,000 – $2,370,000The StandardX$25,077,904 – $31,737,442Tempo by Hilton$25,524,574 – $37,845,951Tapestry Collection by Hilton$2,861,047 – $70,253,147The Registry Collection Hotels, Registry Collection Hotelsinvestment not disclosed

The Red Collection franchise — frequently asked

Who owns The Red Collection — who is the franchisor?

The Red Collection's most recently filed FDD (2026) names The Red Collection, LLC as the franchisor — the entity you would actually sign the franchise agreement with, as stated on the disclosure document itself. A registry filing names the franchisor, not necessarily its ultimate parent company.

How much does a The Red Collection franchise cost?

The Red Collection's most recently filed FDD (Item 7) puts the total estimated initial investment at $222,875 – $1,611,250 and a 4.5% royalty. That price is the franchisor's own estimate of what it takes to open, not a quote. The full report breaks down every fee line and benchmarks it against travel & hospitality peers.

How much profit does a The Red Collection franchise make?

The Red Collection makes no Item 19 financial performance representation, so there is no franchisor-disclosed revenue or profit figure for The Red Collection at all — and profit would never be disclosed even where earnings are, because it depends on your rent, labor and how you operate. Any profit figure quoted elsewhere is an estimate, not a disclosure.

Does The Red Collection disclose financial performance (Item 19)?

No — The Red Collection's most recent FDD makes no Item 19 financial performance representation. Its absence is worth weighing; the report focuses on the verifiable risk signals instead.

Are there lawsuits against The Red Collection?

The Red Collection's most recently filed FDD (2026) discloses legal proceedings in Item 3. Item 3 covers the franchisor, its predecessors, parents and affiliates — so a disclosed case is not necessarily a suit against The Red Collection itself, and a disclosure is not a finding of wrongdoing. The full report lists each case, separates franchisee disputes from corporate and securities matters, and flags the franchisee-initiated ones.

Is The Red Collection a good franchise to buy?

Nobody can answer that from The Red Collection's numbers alone — it comes down to how its investment, earnings, litigation and franchisee churn stack up against travel & hospitality peers, which is what the full report is for. Our read on this filing is medium risk, stated free above. For $99 you get the figures driving that read, the actual Item 19 earnings (absent from this FDD — and how unusual that is for the category), where every figure ranks against peers, and the specific questions to ask the franchisor before you sign.

Decide with the numbers — $99

A The Red Collection franchise is a $222,875 – $1,611,250 decision you make once, on a ten-year agreement, usually with a personal guarantee behind it. For $99 you get an independent read of the document that decides it: what the absent Item 19 earnings imply, and how unusual that absence is for the category, every figure ranked against travel & hospitality peers, the litigation split into franchisee and corporate matters, the churn behind the outlet count — and the questions to put to the franchisor before you sign. If it tells you nothing new, reply within 14 days and we'll refund it.

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Get a free email when something changes on The Red Collection or travel & hospitality: a new FDD registration, a new lawsuit, an outlet count that shifts, or Item 19 earnings going from undisclosed to disclosed. Pulled straight from the same registries every report is built on.

This report compiles and structures publicly filed Franchise Disclosure Document (FDD) data from state franchise registrations. It is not legal, financial, or investment advice, is not affiliated with or endorsed by any franchisor, and does not replace reading the full FDD or consulting a franchise attorney or accountant. All figures are as disclosed by the franchisor in its most recent registered FDD. Item 19 financial performance representations are made at the franchisor’s option and may be absent or limited.