Multi-Unit Franchise Experts

Investing in a Subway Franchise

Aspiring entrepreneurs turning to franchising as a means of business investment have been increasing in recent years. Buying a franchise is an often intimidating and overwhelming process, as there are so many factors and considerations to take into account. Of all the brands available to choose from, Subway is one of the most substantial and present franchises with a presence in over 100 countries and 44,000 outlets. It’s an established and recognizable brand that continues to remain successful.

Investing in a Subway franchise is a big decision; understanding what you’re getting into is a crucial part of the process. At International Franchise Professionals Group (IFPG), our franchise broker group members work with aspiring entrepreneurs to take them through the process of identifying the right franchise and helping to make the right investment. Our purpose-driven mission is based on integrity, ethics and collaboration, so here we answer some of the most frequently asked questions about investing in a Subway franchise.

What is a Subway Franchise?

Subway’s franchising program is the world’s largest quick-service restaurantChain. Founded by Fred DeLuca and Peter Buck in 1965, it quickly became one of the leading names in the fast-food industry. Subway uses a multi-unit development strategy to penetrate markets – this looks to set up multiple restaurants in close geographical proximity.

What are the Subway Franchise Requirements?

If you are interested in investing in a Subway franchise, you must meet the following requirements:

• You need to have a minimum liquidity of $40,000.

• You must have a net worth of at least $80,000.

• You must have restaurant management experience or a bachelor’s degree in business, finance, marketing, and/or food service.

• You must have proven leadership talent and business acumen.

• You must have emotional stability and commitment to the Subway brand.

• You must have a good credit standing.

• You must have enough capital to fund the franchise.

How Much Does it Cost to Open a Subway Franchise?

The average amount needed to open a Subway franchise is $116,000 – $263,000. The initial franchise fee is $15,000. It is important to recognize that Subway is not an inexpensive option, but if you can find the financial resources, it is wise to invest in such a successful brand.

How Do I Find Subway Franchise Opportunities?

When you decide to invest in a Subway franchise, the first step is to ensure that you meet the franchise requirements. Once you have taken care of this, you should contact the Subway franchise department about current and best available opportunities. At IFPG we have an extensive network of franchisors which is beneficial for you to use to find opportunities. Additionally, you can scan the Subway website for available stores in your area or contact local real estate agents to see what’s out there.

What steps are there to Open a Subway Franchise?

Opening a Subway franchise requires a lot of planning and preparation. The overall process is comprised of the following steps:

• Start with Preliminary Research: Learn as much as you can about Subway and its success stories.

• Review the Contract and FDD: Before you sign anything, make sure to review the contract and Franchise Disclosure Document (FDD).

• Get Financing: Seek out funding that you need to open the franchise.

• Site Selection: Research the area and decide on the best place to set up your franchise.

• Get Necessary Licenses: Research the relevant laws in the area and get the necessary licenses and permits.

• Hire and Train Staff: Put together your team and train them thoroughly before the opening.

• Opening Day: Once everything is in order, set the grand opening date and make it a success!

What Training and Support Does Subway Offer its Franchisees?

Subway offers extensive training and support to its franchisees. This includes pre-opening training that covers core business skills; initial on-site restaurant training for up to 10 team members; on-going field operational support; training for new product launches; in-person regional engineer support; critical information support; as well as several other advantages that come with owning a Subway franchise.

Topics:

Subway Franchise,

Franchise Opportunities,

Franchise Investment

Download your free copy!

Explore multi unit franchising opportunities and uncover the mysteries of franchising in this e-book.

And learn to evaluate franchise concepts like an insider.

Request a Franchise Evaluation