Two common options when becoming a travel advisor are buying a travel franchise or joining a host agency. Both a franchise and a host agency give you access to the professional credentials and supplier relationships you need to book travel professionally, but differ significantly in investment and ownership structure. For most new advisors, a host agency is a better starting point since it costs less to join while you build your own business and brand, while a franchise ties you to an established brand at a higher cost.
Overview: Host agency vs. travel franchise
A travel franchise sells you a business with an established brand in exchange for your financial buy-in and ongoing royalties. A host agency gives you the infrastructure to run your own business in exchange for a share of your commission.
What’s the difference between a travel franchise and a host agency?
A travel franchise is a business you buy. You pay a franchise fee to operate under an established brand, like Dream Vacations or Cruise Planners, and you get a package to build with: the brand’s name, technology, standardized training, and marketing. You own and run the business, and in exchange you pay the franchisor ongoing royalties or fees.
A host agency is a travel agency that advisors affiliate with as independent contractors and pay a membership fee to. The fee covers access to the host’s accreditation, which is how you access suppliers and earn commission, booking and business technology, and preferred supplier partnerships. Instead of paying royalties, you split commission with the host on what you book. There’s usually no large upfront buy-in, and hosts usually allow you to build your own professional brand.
Startup costs
Travel franchise fees range from $1,000–$11,000, so it’s a better financial fit if you’re confident you can earn that back quickly. Host agency fees are more affordable—Fora membership is $299 per year—so there’s less immediate sales pressure to earn back your initial investment.
Startup costs for a travel franchise are much higher than startup costs to join most host agencies. Total startup costs could run from $4,000 up to about $20,000, depending on the brand and fees for extras like admin and training. You pay ongoing royalties—on a percentage of your gross sales or on each commission—and recurring fees for as long as you operate. Some franchises also come with multi-year contract commitments.
In comparison, most host agencies charge a recurring membership fee that covers platform access, training, and agency infrastructure. You don’t pay royalties. Instead, the host keeps a share of the commission you earn, and you keep the rest. Most host agencies have contracts that you can cancel at any time or with a short notice period.
Read our breakdown of costs to become an advisor
Commission and earnings
The host agency commission structure offers more flexibility, whereas the royalty structure of a travel franchise offers the most benefit after you’ve earned back your initial investment. Franchisees pay royalties on each commission or separately on a percentage of gross sales, varying widely from 1–12%. Host agency advisors split commission with the host. Splits also vary widely from 30–100%, but 70–90% is common depending on the agency and your sales volume.
Comparing the two on commission percentage alone doesn’t offer a complete picture, because operating costs land in different places. Here’s what it would look like for a new advisor with $50,000 in first-year commissionable bookings at 10% average commission:
With a franchise agency with a $10,000 buy-in, that’s: ($5,000 commission - 3% royalty) - buy-in fee = -$5,150 for a commission-based royalty. For a gross sales-based royalty, it would be: ($5,000 commission - $1,500 royalty) - buy-in fee = -$6,500. After the first year, you’d need to continue to recoup your losses and cover any recurring fees.
With a host agency that starts you at a 70% split, that $50,000 works out to: (($50,000 x 10% commission) x 70%) - $299 membership = $3,201
Learn more about how travel advisors get paid
Ownership and branding
If you want the strongest ownership over your business and brand, host agencies offer the most control. You choose your business name, your niche, and how you market yourself, and the host provides the foundation and tools in the background.
Operating as a franchisee makes you recognizable under the established brand. The tradeoff is that you’re representing the franchisor, and you need to follow their standards for how you present the business.
Training and support
Both host agencies and travel franchises offer training, but they vary in structure and cost. A good host agency will offer structured onboarding and ongoing training on destinations, suppliers, and business skills at no extra cost, plus in-person learning opportunities. But, not every host agency offers the same depth of training or structure, which makes choosing the right one more important.
Franchise training is standardized by design to give you a complete training on the brand and how it operates, with uniform onboarding, ongoing education, marketing, and a playbook. The tradeoff is that some travel franchisors charge for training, and your training will be more specific to the brand’s areas of focus.
Preferred partners and supplier access
The right host agency can give you access to a broader range of properties and stronger partner benefits than a travel franchise. While both business models provide access to exclusive client benefits, their consortia access and preferred partners may differ. Consortia membership and preferred partners influence where your clients get the highest priority and you can provide the most value, and these partnerships also tend to come with higher base commission rates.
Consider your ideal client and what types of properties they’d like to book so you can weigh options with them in mind. For example, a cruise franchise might not have luxury consortia memberships that would allow you to break into the luxury market.
Flexibility and client ownership
A host agency contract provides more flexibility and ownership over your business than a travel franchise, with shorter cancellation notices if you decide to leave and control over the business you build. Home-based travel franchises usually have a set contract term and brand standards that shape how you present and run the business.
You usually own your client relationships when you join a host agency, so if you decide to start your own agency or join a new host, those contacts and your branding can come with you. By contrast, leaving a franchise means separating from the brand, and depending on your agreement, leaving your client data behind.
Travel franchise vs. host agency: Which should you choose?
Choose a travel franchise if you want to build on top of an existing brand name, setup, and business structure instead of launching your own brand, and you have the budget to cover your buy-in plus royalties. If you decide to leave, know that you’ll need to create your own brand from scratch and may need to leave behind your client list.
Choose a host agency if you want more control over your travel business, a lower startup investment, and to own your client relationships. You can build a business at your pace, but will need to put in the work to grow a consistent base of client bookings.
If you’re leaning toward a host agency, the next step is comparing hosts on cost, training, and supplier access, since they vary widely. Read our full guide to choosing a host agency.
Frequently asked questions
Do I need a license or certification to be a travel agent?
No, you don’t need a license or certification to be an independent travel advisor in most U.S. states. California, Florida, Hawaii, and Washington have Seller of Travel laws that require travel businesses to register at the agency level. Maryland has a similar law going into effect in October 2026. A host agency, like Fora, handles the agency-level registration for you.
How much do franchise or host agency travel agents make?
There’s no set salary, because pay in both models is commission-based. You’re self-employed rather than an employee, so what you earn depends on how much you book and how much you invest in growing. With a host, more of each commission stays with you while you’re building; with a franchise, the buy-in and royalties take a larger share until your volume is high enough to cover it.
Will a travel franchise or host agency find clients for me?
Usually no, when you’re starting out. In both models, you build your own client base, usually starting with your personal network. Some franchises bundle lead generation or national advertising into what your fees buy, and many hosts offer marketing tools or client lead programs. However, a franchise’s brand can make it easier to attract new leads. If help finding clients matters to you, ask each company what it provides.
Can I switch from a franchise to a host agency, or between hosts?
Yes. It’s normal for advisors to move between models and between hosts. Leaving a franchise can be more involved because of contract terms, so check your agreement. Moving from a franchise to a host, or between hosts, is usually more straightforward, though you’ll still want to plan a clean transition.
Do I have to choose a franchise or host, or can I go fully independent?
You can go independent by getting your own industry accreditation, but it comes with higher costs, more administrative work, and no built-in supplier relationships or support. Most advisors start with a host or franchise and go independent later, if they do at all.
