Subway Franchise
Monday, April 26, 2010 at 02:29PM Submarine sandwich restaurant chain
In 1965, 17-year-old Fred DeLuca and family friend Peter Buck opened Pete's Super Submarines in Bridgeport, Connecticut. With a loan from Buck for only $1,000 USD , DeLuca hoped the tiny sandwich shop would earn enough to put him through college. After struggling through the first few years, the founders changed the company's name to Subway and began franchising in 1974. Offering a fresh, healthy alternative to fast-food restaurants, Subway has franchises throughout the United States and in several countries, with locations in traditional and nontraditional sites alike.
Start-up Costs & Franchises Fees
What is the total cost to open a Subway Franchises?
Total Cost: $78,600-$238,300
Total Franchise Fees: $15,000 USD
Ongoing Royalty Fees: 8%
Ongoing Advertising Fees: Not Available
Term of Agreement: 20 years
Contact Information for Subway
|
Subway |
Phone Number: (203)877-4281 ext.1329 |
Subway In the Press
No results at this time.Historical Expansion
In what year did Subway begin operations? 1965
When did Subway begin selling franchises? 1974
Year United States Canada International Corporate 2005 18280 2032 2742 1 2004 17931 1996 2554 1 2003 15784 1803 1651 1 2002 14032 1609 1124 1 2001 12682 1491 1074 1
Future Expansion
Countries of Interest:
Franchise Financing Information
Cost In House Financing Available? 3rd Party Financing Available? Franchise Fee Yes No Initial Start-up Capital No Yes Plant, Property, and Equipment Yes No Inventory No No Accounts Receivable No No Payroll No No 3rd Party Financing Available? Financing Source(s): Edlo Leasing, Banco Popular, Textron
Training & Support
Training
Training available in Australia, China, Germany, India, Montreal, Canada & Miami, FL
Support
In the Pressletter, Meetings, Toll free phone number, Grand opening support, Internet referrals, Safety and Security procedures, Field support and site evaluation, Purchasing cooperatives
Marketing
Cooperative advertising, Ad slicks, National media, Regional advertising support
Franchise Operation Restrictions
65% of all franchise business owners own more than one franchise location.Number of employees needed to run franchised unit: 6 - 10
Absentee ownership of this franchise business is not available to new franchisees. (100% of current franchise business owners are owner/operators)
Qualifications & Business Experience
Business Experience:
General business experience
Franchise Analyzer Professional's Inside Information
Can you buy this franchise for no money down? YesPlease note: You must download a free copy of Franchise Analyzer Professional to receive these benefits and so much more. Click here to download your FREE copy now.
What key terms in the franchise agreement can be negotiated? Cross-default provisions, arbitration clause, personal guarantee, default cure periods, non-compete agreement, favorable valuations for corporate buyout
Can you negotiate lower royalties during start-up? Yes
Can you purchase multiple franchises for a discounted franchise fee? Yes
Can you receive lower advertising fees? Yes
Will I know when the franchise break even? Yes
Will my personal assets including my home be safe in case my franchise business fails? Yes