subway franchise

anyone here own or owned a subway franchise? what data can you share with me about subway franchises? i am interested in opening one and just want some more details from people that actually own or owned one.
 
 

People involved with Subway in any manner or capacity rarely will have anything to do with this site. We are unworthy...

mark

aww...well i might be a Subway owner soon, and i will still be on here. great site ;) i am waiting for my franchise package now, hopefully it has some answers for me, but i wanna hear first hand from other subway owners, if any, on here.

Have you done a search on Subway? I mean like search "Subway sucks". I'm not being a smart ass here but I once stumbled on a long list of unhappy Subway franchise owners online. The list went on and on. But that is not to say Subway is not a good company. I was just blown away by the large number of neg post. It's worth a look anyway.
Jack
PS I eat at Subway every once in awhile

I have a Subway in my area that is a well oiled machine… No matter how long the line is when I walk in I know that I’ll be at the register in no time at all… They have more people on the line than most other Subways but I’ve yet to see another that runs as smoothly… I love to eat decadently but I save those sinfully good meals for once a week… I hit Subway often for lunch to keep on the straight and narrow… Not sure what it’s like to run one but as a consumer I appreciate them… Not Roadfood my any means but still on my good list.

We used to go to subway all the time but since they went with the low price foot longs they dont seem as good.  The bread tastes differnt to me.  I loved that herb cheese roll but they have been dry and stale tasting the past few times and they keep changing the meat for the Phiily's around which my wife doesnt like.  SHe prefers it when its sliced like roast beef.
The local 2 were always packed but lately the get very little traffic.
I dont think they capture the market share they used to.
 

gotti, you might look into Quizno's as an option. I prefer their food to Subway any day!!!. I don't know if they franchise or not but it is worth looking into.

JMHO

David O.

I read that Quizno's is number one is franchisee dissatisfaction.

... you'd need to look that up.  Actually, I think there is reference to that in the RF forums. 

Didn't know that!

David O.

I fixed a subway oven recently. It was made by a company out of chicago I think, anyway it had an oven compartment on top and a humidifier / warmer below. You will need this and a proofer, a proofer "proves" the yeast is good and the warm cabinet lets the bread rise before baking. The oven sold for $2000. A subway shop moved in our town but nothing has ever stayed open in the old place. Franchises run in the 100-250 k range just to get your foot in the door.

The real money in Subway franchises  is in multi unit ownership.  Many markets are now saturated.  If you find a location, the existing franchisee that is closest, has not only the first right of refusal, but the right to stop you from opening a unit if he believes it will adversely affect his store(s).  I can't recall the mileage radius that they use to base their decision.  Last time I talked to Subway, they were really pushing non traditional locations.  I was only interested in the franchise if I could open at least 3 locations.  I found 2 locations that I thought would be very profitable.  The closest franchisee, who happens to own 14 franchises, said he would give his approval if we could be partners.  Partnership for him meant that I put up 100% of the investment, ran the operation, and cut him back 40% of the profit.  I had 2 words for him.  I'm in a small town.  There is not much opportunity here for an individual looking to grow with Subway.  But, there is money to be made in multi unit iperation, or single unit operation if you marry it, and run it 7 days a week.

I work for a competitor of Subway here in Wisconsin( Cousins Subs, which started back in 72-I think) and while Subway offers some good deals, the shops tend to only bake once a day-freeze leftover bread after sitting out for an extended time, and serve it the next day. I do agree with multiple ownership of Subway, because the 2/5 doesnt bring in much revenue.But as far as quality, I find them lacking....I would rather pay more for a good, fresh sub anyday.By the way, my favorite is a locally owned place named Suburpia. I remember on another forum someone found the name offensive. All I have to say is try one and you are hooked! But, by all means look into it-although the pricetagmakes me think, after writing all this, this is probably not a serious question.Just my thoughts...

PopsDogHouse


The real money in Subway franchises  is in multi unit ownership.  Many markets are now saturated.  If you find a location, the existing franchisee that is closest, has not only the first right of refusal, but the right to stop you from opening a unit if he believes it will adversely affect his store(s).  I can't recall the mileage radius that they use to base their decision.  Last time I talked to Subway, they were really pushing non traditional locations.  I was only interested in the franchise if I could open at least 3 locations.  I found 2 locations that I thought would be very profitable.  The closest franchisee, who happens to own 14 franchises, said he would give his approval if we could be partners.  Partnership for him meant that I put up 100% of the investment, ran the operation, and cut him back 40% of the profit.  I had 2 words for him.  I'm in a small town.  There is not much opportunity here for an individual looking to grow with Subway.  But, there is money to be made in multi unit iperation, or single unit operation if you marry it, and run it 7 days a week.

there is a subway about 1 mile from the location i want to open up my subway. comparing it to another 2 subway locations, they are 1.6miles apart. i hope it wont be a issue and they dont go asking the other subway guy if he wants a taste of my action or if its ok with him, because it wont be ok with me. thank for the info tho. im waiting for my package from subway to arrive with the details.

im reading http://www.unhappyfranchisee.com/category/new-unhappy-franchisees/sub-shop-franchise/ right now....quiznos is out of the question ;/

This site is specifically aimed at franchise owners:
http://www.bluemaumau.org/
At the upper left hand corner is a drop down menu titled "news by franchise". 
You can also try searching the archives of this site. Sometimes people do write about pros-and-cons of a given franchise here.

work on your business plan.  If you gross $5,000 per week whats left for  you after paying rent, utilities, food costs, franchise fees, insurance, employee costs, etc.  If you want to work 70-80 hours a week you can probably make a wage comparable to what you could earn working at a $12-$15 hr. job for 40-45 hours.  If you think you can stop by sometimes your labor costs will kill  you.  Be careful that another Subway doesn't open 1/2 mi. away.  Around me they are everywhere.

Ive been the franchise route. My advice? Run, dont walk, as fast as you can from someone trying to sell you one.
Did you ever consider going to a lawyer who deals in disputes in franchises? You may get a whole new feeling about food franchises.
I know this sounds negative, but my experience was long, and bad. And when we met with the lawyers, I was amazed at the litigation that was ongoing with all franchises.
Oh, I am in the Toronto area, but believe the franchise business runs the same way on both sides of the border.
Remember that the franchise contract is there to make sure that if you leave the franchise, all your money stays. And the courts uphold all contracts, no matter what.
Good luck though, with any decision you decide upon.

GoTTi

PopsDogHouse


The real money in Subway franchises  is in multi unit ownership.  Many markets are now saturated.  If you find a location, the existing franchisee that is closest, has not only the first right of refusal, but the right to stop you from opening a unit if he believes it will adversely affect his store(s).  I can't recall the mileage radius that they use to base their decision.  Last time I talked to Subway, they were really pushing non traditional locations.  I was only interested in the franchise if I could open at least 3 locations.  I found 2 locations that I thought would be very profitable.  The closest franchisee, who happens to own 14 franchises, said he would give his approval if we could be partners.  Partnership for him meant that I put up 100% of the investment, ran the operation, and cut him back 40% of the profit.  I had 2 words for him.  I'm in a small town.  There is not much opportunity here for an individual looking to grow with Subway.  But, there is money to be made in multi unit operation, or single unit operation if you marry it, and run it 7 days a week.

there is a subway about 1 mile from the location i want to open up my subway. comparing it to another 2 subway locations, they are 1.6miles apart. i hope it wont be a issue and they dont go asking the other subway guy if he wants a taste of my action or if its ok with him, because it wont be ok with me. thank for the info tho. im waiting for my package from subway to arrive with the details.

I hope it's not an issue for you as well.  You don't learn of the location constraints when you're dealing with Doctor's Associates corporate office.  You find out when you start dealing with the local Subway Development office.  Maybe they have changed their franchise agreement to something less restrictive because of the saturation problem.  If so, the current franchisees lost a valueable benefit.

Hi All,
 
I had received a call few years back from one of the investors.  His proposal was quite attractive.  He was offering 10% block of Investment in Subway Franchise.  All I would do is invest in the franchise and be an absentee owner for that particular franchise.  Profits would be distributed on a quarterly basis.
 
I wasn't interested at that time - and I didn't keep the contact information for that company.  Does anyone have this type of Information?  Thank you in advance for your reply.
 
 

katwala


Hi All,
 
I had received a call few years back from one of the investors.  His proposal was quite attractive.  He was offering 10% block of Investment in Subway Franchise.  All I would do is invest in the franchise and be an absentee owner for that particular franchise.  Profits would be distributed on a quarterly basis.
 
I wasn't interested at that time - and I didn't keep the contact information for that company.  Does anyone have this type of Information?  Thank you in advance for your reply.
 
 

There is no program like that that is allowed by Subway. It was most likely a scam.

Run2Eat


I have a Subway in my area that is a well oiled machine… No matter how long the line is when I walk in I know that I’ll be at the register in no time at all… They have more people on the line than most other Subways but I’ve yet to see another that runs as smoothly… I love to eat decadently but I save those sinfully good meals for once a week… I hit Subway often for lunch to keep on the straight and narrow… Not sure what it’s like to run one but as a consumer I appreciate them… Not Roadfood my any means but still on my good list.

I agree! Also in Dallas, I usually eat lunch at the Subway shop in Inwood Village on Lovers Lane. When every store in the Village is dead, this Subway still manages to pack them in.
All day long, it seems.
Where else can you get so much food for so little money?

annpeeples


I work for a competitor of Subway here in Wisconsin( Cousins Subs, which started back in 72-I think) and while Subway offers some good deals, the shops tend to only bake once a day-freeze leftover bread after sitting out for an extended time, and serve it the next day. I do agree with multiple ownership of Subway, because the 2/5 doesnt bring in much revenue.But as far as quality, I find them lacking....I would rather pay more for a good, fresh sub anyday.By the way, my favorite is a locally owned place named Suburpia. I remember on another forum someone found the name offensive. All I have to say is try one and you are hooked! But, by all means look into it-although the pricetagmakes me think, after writing all this, this is probably not a serious question.Just my thoughts...

Ann, pertinent to your post, I've found by experience to eat ONLY at Subway's that are always busy. Thus insuring much fresher food.

Further to my above post, I forgot to mention that a "Jersey Mike's" sub franchise is opening very soon only 3 doors from my business. I'm anxious to try their subs.
Are any of you familiar with this chain and, how it compares to Subway?

You are right,Twinwillow...

Twinwillow


Are any of you familiar with this chain and, how it compares to Subway?

My experience with Jersey Mikes goes back about 15 years, so things might have changed. Back then, when the first ones opened around here my wife and I, being from the East Coast, just had to try. Among their offereings at that time was one called an Italian. We ordered those, and I watched as they put together a sub with such Italian meats as baked ham, bologna and salami, and American cheese. They also used mayonnaise. We paid for our two sandwiches, took a couple of bites and then tossed them into the trash. I've never been back.
 
By the way, on another thread someone told me that Jersey Mikes never had a sub called an Italian. They did that day!
 

 

I see that you're in Los Angeles.  Check the area very well.  There is a saturation of Subways.  Check the rent!

I know that in the Valley they are getting between $3 and $5 a square foot!  Outrageous rent!

Look at the no competition clause.  You don't want them opening another right down the block.

Good luck to you in your venture.

Me?  I have a problem with franchises because I don't want to own a business and have to answer to others.  I don't want to have to buy all supplies from those people when they have total control of the price.

Be careful.

Why do people go for franchises?
 
 Im in process of putting together a sub sandwich concept of my own and it will be exactly that: MY CONCEPT.
 
I CAN do it for a fraction of the money and not be told what Im going to serve and what Im going to charge and what hours I will keep.
 
When you have a franchise you simply are working for the franchisor and god forbid you should want to do anything on your own.
 
Do it yourself. Put the money in your pocket and who knows, maybe in a couple years You could be selling franchises.

Speaking of franchises, as it turns out, I am looking to open an ice cream or gelato store. After talking with a few franchisers, I've decided to open up (eventually) a store on my own. I'll probably buy product locally through a few trusted wholesalers and then as soon as I learn "the ropes" I'll make my own, in house. After all, making ice cream is not, "rocket science". 

hippie jim


Why do people go for franchises?
 
 Im in process of putting together a sub sandwich concept of my own and it will be exactly that: MY CONCEPT.
 
I CAN do it for a fraction of the money and not be told what Im going to serve and what Im going to charge and what hours I will keep.
 
When you have a franchise you simply are working for the franchisor and god forbid you should want to do anything on your own.
 
Do it yourself. Put the money in your pocket and who knows, maybe in a couple years You could be selling franchises.

Exactly. See my post.

I have had Jersey mikes Philly cheesesteak and was impressed. My son opened a firehouse sub in feb and he's very happy and is opening 3 more over the next year.  http://www.firehousesubs.com/ His wife runs it. He also owns a car wash and works for a company that sells the car wash machines.