Subway Food Franchise
Investment Level: $100,001 - $200,000
If you have been looking for a small business opportunity in food service, then SUBWAY® may be the right choice for you. No other quick service restaurant chain has more locations across North America than SUBWAY®.
Indeed, SUBWAY® is one of the largest restaurant chains in the world with 36,231 locations in 98 countries.
History of the company
SUBWAY® started when Fred DeLuca and Dr. Peter Buck opened the first restaurant in Bridgeport, Connecticut, USA in 1965. The company incorporated as Doctor’s Associates Inc. and today the quick service food chain is the largest of its kind in North America and looks ready to become the largest chain in the world.
The secret to the company’s success is that it puts the quality of its food above everything else. The focus is to make great sandwiches. Indeed, many SUBWAY® franchise owners started out as customers who truly loved these sandwiches.
Since 2007, worldwide franchises have skyrocketed with strong growth each year up until 2012. Existing SUBWAY® franchise owners opened up most of the new restaurants, a fact that attests to their success and the effectiveness of the company’s model.
SUBWAY® restaurants have distinctive décor that utilizes natural construction materials like stone, brick and clay to create a warm, rustic atmosphere that is inviting and comforting to family diners.
Customers come to expect the same type of setting at all SUBWAY® outlets and it provides a consistent experience in combination with excellent food and customer service.
For SUBWAY®, the greatest emphasis has always been on providing outstanding food. “Sandwich Artists” craft sandwiches using a variety of gourmet breads that we bake fresh every day.
Customers have a choice of a wide array of ingredients to add to their sandwiches including meats, vegetables, cheeses and a selection of special “secret” sauces. The highly customizable nature of SUBWAY® sandwiches is one of the great strengths of the restaurant. Furthermore, our Sandwich Artists toast sandwiches exactly to the customer’s specifications.
The quality of SUBWAY® products is such that you will be proud to offer them to the public knowing that they have a great reputation for satisfying customers. The restaurant provides an opportunity for a meal served quickly but that also stands out in quality. Customers come to SUBWAY® because most already know about the appeal of the restaurant's products.
SUBWAY FRESH FIT™ Menu The SUBWAY FRESH FIT menu, which is currently available in the United States, Australia, Canada and New Zealand, offers great taste combined with healthy eating.
SUBWAY® believes that it is very important to offer nutritious, healthy food and the menu reflects these priorities. The FRESH FIT™ menu is free of trans fats and it is low in cholesterol and saturated fats.
What the company offers
SUBWAY® provides franchise owners with the necessary operating systems and formulas, training programs, operations manual, restaurant design, equipment consulting, onsite assistance during opening, and periodic ongoing evaluations.
In return, the franchisee responsibilities include the initial franchise fee, acquiring the restaurant location, managing the leasehold and equipment, handling employees and daily operations, and paying an eight percent royalty to the company along with an advertising fund fee.
Preparation for opening a new SUBWAY®
The nutritional value of our food is very important. The SUBWAY FRESH FIT™ menu is low in saturated fat and cholesterol and is trans fat free.
*SUBWAY FRESH FIT™ menu is currently available in the US, Canada, Australia and New Zealand
Preparation for opening a new SUBWAY®
- Training: An intensive two-week program for the franchise owner and the restaurant manager.
- Restaurant design: SUBWAY® provides the owner with floor plans for the restaurant location.
- Location selection: SUBWAY® helps you evaluate the location of the restaurant
- Equipment acquisition: SUBWAY® provides assistance in ordering your store’s equipment package.
- Access to formulas and operational systems
- Store design and equipment ordering guidance
- Training program
- Operations manual
- Representative on-site during opening
- Periodic evaluations and ongoing
Before You Open:
You and your designee or manager will take part in our intensive two-week program.
- Restaurant/Store design
You will be provided with floor plans for your specific location.
- Site selection
You will be assisted in evaluating the location for your business.
- Equipment ordering
You will receive guidance on ordering your equipment package for timely delivery.
After You Open:
- Operations manual
SUBWAY® restaurants&rsuqo; in-depth manual covers a full range of topics important to running your business.
- Field support
Your local representative will help you get started and provide ongoing operational evaluations.
- Franchisee services
A Coordinator will serve as your main contact person, who is just a phone call or e-mail away.
SUBWAY® franchise executive chef, baking specialists, staff nutritionist, and product development team continually strive to make our excellent food even better.
- Continuing education
Regular newsletters, e-mails and voice-mails, DVDs and additional learning tools are also available.
Once the new restaurant is open for business, SUBWAY® will provide an Operations Manual that contains detailed information covering all topics necessary to run the business.
One of our local representatives will be onsite at the opening to help in getting operations started and to provide performance evaluations.
A franchisee services coordinator then acts as the company’s main contact person with the store owner providing assistance by phone or email. The SUBWAY® research and development team consisting of an executive chef, baking experts, nutritionists and product development specialists work continuously to improve the company’s products.
Franchise owners benefit directly from advancements made by SUBWAY® R&D. They will also have access to a continuing education program that includes newsletters, DVDs, emails, voicemails and other learning resources.
Assessing potential for success
Many variables can have an impact on whether a specific restaurant will be successful or not. Location and store performance are just two of these factors, but they are extremely important.
Since the company cannot know all the variables present in each case, they cannot offer any predictions as to success or any projections on potential earnings, sales or profits.
In order to get more detailed information, the best route is to fill out a store application. After application processing, you will receive a disclosure document and information that will allow you to contact current franchise owners. These franchise owners may be able to provide specific information that can help you in assessing a potential location.
Our franchisees receive ongoing support that starts before opening and continues while the store is in operation. Franchise World Headquarters, LLC provides assistance for new stores and they continue to support the location to increase the chances of success. The support teams have in-depth experience and expertise and they can help you with all aspects of your store’s operations.
A commitment to protecting the environment
The SUBWAY® organization makes every effort to ensure that its restaurants and operations are as eco-friendly as possible. The SUBWAY® Eat Fresh Live Green program seeks to minimize the environmental impact of stores while still allowing franchise owners to realize profit. The policy aims at improving living conditions for everyone from our customers to employees along with the general communities in which we are located.
Interesting SUBWAY® facts
SUBWAY® engages in international programs aimed at improving energy and other natural resource conservation and at reducing waste and environmental damage. These programs accomplish their goal by implementing green, ethical sourcing and supply chain policies. Just in the United States, the chain eliminated 718,698 metric tons of greenhouse gas (GHG) emissions over the past year. Since August 2006, all new SUBWAY® chains along with numerous renovated stores have installed low-flow sink aerators that save more than 214 million gallons of water every year. Store owners also have the the option of building state-of-the-art Eco Restaurants that further help reduce the location’s carbon and ecological footprint. So far, there are 14 Eco Restaurants in operation with additional stores planned for the future. SUBWAY® has taken measure to increasing the environmental friendliness of its food packaging and it has made strides in improving the health quality of its food including using chicken and turkey that is free of hormone and antibiotic-use.
How much does it cost?
A SUBWAY® franchise is one of the cheapest stores in the industry to start although costs will depend on location, size of store, and the amount of work needed to design and renovate the location. General estimated investment is between $92,000 and $315,000.
The investment costs include the initial franchise fee, leasehold improvement, equipment costs, security system, opening inventory, insurance, supplies, transportation costs, training costs, legal and accounting expenses, outside signs, advertising and miscellaneous expenses for three months.
Traditional locations are those found on street corners and in shopping centers. A non-traditional location may be at a hospital, university or airport. These non-traditional sites generally belong to owners of existing franchisees who have a proven record with the company. Owners of businesses at non-traditional sites may also be eligible for a franchise at the same location.
Find out how SUBWAY® is the right fit for you.
SUBWAY® is a registered trademark of Doctor’s Associates Inc. ©2012 Doctor’s Associates Inc. Franchise may be offered by prospectus, through affiliate companies. Numbers subject to change.