Abstract This paper discusses the affiliation to hotel chains from the perspective of the owners and managers of individual hotels in Bulgaria. It investigates the impact of accommodation establishments' characteristics (chain affiliation, size, category and location) on their owners' and managers' perceptions about: a ) the advantages of chain hotels; b ) the most suitable type of affiliation of their properties to hotel chains in the context of Bulgaria; c ) the factors, influencing the choice of type of affiliation; and d ) their preferred attributes of the chain. The sample includes 36 foreign chain members, 7 former foreign chain members and 103 independent properties. The results indicate that the chain affiliation and location are the main accommodation establishments' characteristics shaping hotel managers' perceptions, whereas the category and size have lower effect. Bulgarian hoteliers are looking for popular hotel brands with positive image that are flexible towards the local market and offer clear contract terms and favourable fees.