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From the filings
The Red Collection
Financial servicesSoftware purchasing at The Red Collection is controlled at the headquarters level, with Senior Vice President of Technology Sharee Brell identified in the 2026 FDD. The brand mandates a specific, named tech stack including Medallia, Guest Redi, and a reservation platform. The addressable market is small, consisting of 5 total franchised units.
For software vendors selling into US franchise brands.
Live signals
Ongoing fee load
What the operator pays every month
The recurring percentage of gross sales named in this filing, before rent, labour or any technology fee.
7.5%of gross sales (FY2026)
15% reference
Mandated & recommended tech
The systems vendors compete with
Systems named in Item 11 of this filing. None is recorded as mandated here, which is not the same as the filing mandating nothing. Read Item 11 before treating the category as open.
Franchisor behaviours
What the franchisor requires
22 requirements the franchisor states in this filing, each in its own words; 3 explicit no's; 9 questions the text does not settle, which is not a no.
Accounting
Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?
YesItem 11
There is no contractual limitation to our right to receive and access this information.
Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?
YesFranchise agreement
To the extent the Reports for any calendar month or partial calendar month are not furnished to Franchisor by Franchisee’s Computer System, as provided herein, Franchisee shall submit such Reports to Franchisor within twenty (20) days following the end of each calendar month.
How the franchisor buys
Is the franchisor or an affiliate itself a supplier of required products, services or systems?
YesItem 8
We sublicense the Reservation Platform / PMS software to our franchisees.
Does the franchisor reserve the right to change designated suppliers or systems at any time?
YesFranchise agreement
Franchisor reserves the right at any time to require, and Franchisee
Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?
14Item 8
The estimated proportion of any purchases and leases required to be made by franchisees from us or from Designated Suppliers is (a) 21% of total purchases and leases in establishing the franchised business and (b) 14% of total purchases and leases in operating the franchised business.
Does the franchisor charge a fee to evaluate a proposed supplier?
YesItem 6
Supplier Testing $1,000 to $2,500 Upon demand Payable only when you request that we Fee approve an unapproved supplier.
Can a franchisee propose a new supplier for the franchisor's approval?
YesFranchise agreement
If Franchisee desires to purchase any items from a supplier not designated as an approved or designated supplier, then Franchisee shall submit to Franchisor a written request to approve the proposed supplier
Data and IT
Must the franchisee comply with PCI, data-security or cybersecurity standards set by the franchisor?
YesItem 11
You must comply with the then-current Payment Card Industry Data Security Standards (“PCI/DSS”) as those standards may be revised by the PCI Security Standards Council, LLC or any successor organization
Franchise management
Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?
YesFranchise agreement
Franchisor or its designated agents shall have the right at any time to examine and copy, at Franchisor’s expense, all books, records and tax returns of Franchisee related to the Hotel and, at Franchisor’s option, to have an independent audit made.
Can the franchisor change the operations manual and brand standards unilaterally?
YesFranchise agreement
Franchisor shall have the right to add to or otherwise modify the Manuals from time to time.
Must the franchisor approve the franchisee's site or location before opening?
YesItem 11
You must submit to us a proposed site for the Hotel when you submit your Application.
Marketing
Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?
YesFranchise agreement
Franchisee is not permitted to create, develop or manage its own property website or booking engine without authorization from Franchisor.
Must the franchisee participate in a customer loyalty or rewards program?
YesItem 11
You must participate in the RediRewards Preferred Member Program and any other guest loyalty program that we require.
Must the franchisee participate in a regional advertising cooperative when one exists?
YesItem 11
If a Cooperative is established during the term of your Franchise Agreement, you must join no later than 30 days after written notification by us that the Cooperative has commenced operation.
Operations
Must the franchisee buy products from a designated distributor?
YesItem 8
You must purchase certain brand specific and The Red Collection logoed items, marketing materials, exterior and interior signage, the computer system, Reservation Platform / PMS, technology equipment, furnishings, fixtures and equipment for your Hotel from our Designated Suppliers.
Must equipment be purchased from designated or approved suppliers?
YesItem 8
You must purchase certain brand specific and The Red Collection logoed items, marketing materials, exterior and interior signage, the computer system, Reservation Platform / PMS, technology equipment, furnishings, fixtures and equipment for your Hotel from our Designated Suppliers.
Payments
Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?
YesFranchise agreement
Franchisor may direct that all monthly payments required under this Section be made to a bank account designated by Franchisor by wire transfer, by automated clearinghouse (ACH) transfer, or by other means which Franchisor may specify from time to time.
People
Does the franchisor require minimum staffing levels or specific roles?
YesItem 15
The business must be directly supervised “on-premises” by a manager who has successfully completed our RED Advantage Training Program described in Item 11 and who is in compliance with the manager specifications and requirements set forth in the Manuals.
Point of sale
Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?
YesFranchise agreement
Franchisee shall not purchase, install, utilize or maintain any computer software, hardware or other telecommunications line that has not been previously approved in writing by Franchisor.
Does the franchisor have independent access to the data in the franchisee's POS or computer system?
YesItem 11
There is no contractual limitation to our right to receive and access this information.
Training
Can the franchisor charge the franchisee for additional, refresher or remedial training?
YesItem 11
We may offer or require additional training during the term of the Franchise Agreement and charge a fee for attendance (which may be charged regardless of attendance).
Is attendance at an annual convention or conference mandatory for the franchisee?
YesFranchise agreement
5.6.4 Franchisor may require Franchisee and its employees to attend other training courses, programs, conferences (including annual conferences) and seminars at such locations as Franchisor may designate (“Ongoing Training”).
The filing answers no to 3 questions
- Is there a franchisee advisory council, association or committee?Item 20
- Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?Item 8
- Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?Item 11
The vendor opportunity at The Red Collection
The Red Collection presents a highly concentrated sales opportunity for software vendors. The system comprises just 5 total units, all of which are franchised, with no company-owned locations disclosed in the 2026 FDD. The operator footprint is small and fragmented: 4 mapped operators control these units, and none are multi-unit operators. The unit-band split confirms all 4 operators fall into the 1-unit category. Geographically, the top states are Florida with 2 units and Massachusetts with 1 unit. Year-over-year unit growth was not disclosed. This is a nascent or tightly controlled system where a single deal with the franchisor could cover the entire brand.
Who controls software purchasing
Technology decisions are centralized at the headquarters level. The 2026 Franchise Disclosure Document identifies Sharee Brell as the Senior Vice President of Technology. For a vendor, she is the primary point of contact for any software pitch. The executive team also includes Zack Gharib (President), Matthew Hostetler (Chief Development Officer), Robert Goad (Senior Vice President of Revenue Strategy), and Timothy Lipka (Senior Vice President of Franchise Operations). Given the mandated nature of the tech stack, any new software adoption will almost certainly require approval from Ms. Brell and her team, rather than from individual franchisees.
Mandated and current tech stack
The Red Collection imposes a strict, named technology stack on its franchisees. The 2026 FDD mandates six specific systems. These are: Guest Redi, Medallia by Medallia, Inc., the RediRewards Preferred Member Program, a Reservation Platform/PMS, a revenue management software system, and RingRedi. This creates a clear map of the incumbent vendors a new entrant would need to displace or integrate with. The presence of Medallia signals a focus on customer experience management, while the multiple "Redi"-branded systems suggest a deeply integrated, possibly proprietary, operational core.
Procurement, renewals, and timing
The procurement model for The Red Collection is not clearly defined in the available FDD data. The Item 8 procurement signal was not present in the extract, meaning it is unknown whether the franchisor operates on a designated supplier, approved supplier, or open procurement basis. The initial franchise term is 20 years. Renewal terms are for 10 years, contingent on not being in default, paying all monetary obligations, completing training and upgrades, executing a general release, and paying a renewal fee equal to 50% of the then-current initial franchise fee. These long terms suggest that major software contract windows may be infrequent and tied to these renewal events or new unit openings.
How to read the The Red Collection FDD
The 2026 Franchise Disclosure Document for The Red Collection is the definitive source for understanding the legal and operational constraints on franchisees. It details the mandated technology vendors, the executive team responsible for purchasing decisions, and the contractual terms that dictate when franchisees might be open to switching solutions. The full document is embedded below for your detailed review. For a ranked target list of franchise systems that match your ideal customer profile, FranCloud can help you prioritize your outreach.
Questions vendors ask
The Red Collection, answered from the filing
Read the filing itself
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FDD alert
Tell me when this brand refiles.
We’ll email you the moment The Red Collection files a new annual FDD, usually the freshest signal of a vendor change.
Operator footprint
Who runs the locations
4 operators run 4 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.
Operators by units owned
Top states by locations
| FL | 2 |
|---|---|
| MA | 1 |
Ownership
The portfolio behind The Red Collection
strategic_multibrand of Red Roof.
Sibling brands
Related Financial services brands
Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.