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Home » Auto Ownership

Battle of the Sub Sandwich Franchises: Quiznos – Blimpie – Subway & Jimmy Johns

Submitted by G.E. Miller on Sunday, 2 August 200917 Comments

Which Sub Sandwich Franchise is the Best to Own?

Ever wondered what it would take to own a successful franchise? The thought of owning one has no doubt crossed the minds of many of us. Franchises represent an opportunity for business owners to get a head start in the use of a popular brand and lay out the framework of how to run the business. But are franchises a good investment? How much do they cost to operate?

One of the most successful franchise industries in terms of sheer number of locations is the food industry. Within the food industry, it’s hard to imagine a more successful model than that of the sub and sandwich shops. It’s difficult to drive past a strip mall or through Main Street without seeing at least one Subway, Quiznos, Jimmy John’s, or Blimpie. We’ll take a look at exactly how much it costs to operate these franchises and some other factors to consider before taking a leap into the world of franchising.

Blimpie Franchises blimpie franchise

  • # of U.S. Locations: 1,142
  • # of Franchised Locations: all but 1
  • Total Investment: $145K – $400K
  • Franchise Fee: $18K
  • Royalty Fee: 6%
  • Advertising Fee: 4% of gross sales
  • Net Worth Requirement: $250K
  • Liquid Capital Requirement: $50K

Jimmy John’s Franchises jimmy johns franchise

  • # of U.S. Locations: 613
  • # of Franchised Locations: all but 19
  • Total Investment: $290K – $387K
  • Franchise Fee: $35K
  • Royalty Fee: 6%
  • Advertising Fee: 4.5% of gross sales
  • Net Worth Requirement:$300K
  • Liquid Capital Requirement: $80K

Quiznos Franchises quiznos franchise

  • # of U.S. locations: 3,511
  • # of franchised locations: all but 3
  • Total Investment: $187K – $342K
  • Franchise Fee: $25K
  • Royalty Fee: 7%
  • Advertising Fee: 4% of gross sales
  • Net Worth Requirement: $125K
  • Liquid Capital Requirement: $70K

Subway Franchises subway franchise

  • # of U.S. locations: 21,685
  • # of franchised locations: all are franchises
  • Total Investment: $76K – $228K
  • Franchise Fee: $15K
  • Royalty Fee: 8%
  • Advertising Fee: 4.5% of gross sales
  • Net Worth Requirement: 50% of investment
  • Liquid Capital Requirement: No minimum

If I were to pick one of these franchises, which would it be?

I’d skip Subway because there are so darn many of them. They are the Starbucks of sandwiches, with a store seemingly on every corner. There are limited to no barriers to entry, hence the 21K+ locations. Blimpie hasn’t excited me in a long time and you never see their advertising, so I would wonder where their ad fees are going. I’d probably choose Jimmy John’s over Quiznos because of the scarcity factor and higher barriers to entry – plus it seems like the only brand that is on the up and up. And – their bread is addictive! If you’re going to get in this business, you might as well like the product!

In all honesty, this is an industry I probably would not decide to jump into. The competition is fierce and there is no scarcity. Costs to get in aren’t bad, but that has its own set of problems. I’d be looking for the next big franchising opportunity.

Sub Franchise Discussion:

  • Which restaurant franchise would you choose? Why?
  • Have you considered opening any kind of franchise? What franchise? Why?
  • Which sandwich/sub spot do you like to eat at the most?
  • Take the Poll!

What is your favorite sub sandwich shop?

View Results

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17 Comments »

  • Steve said:

    I always wondered what it costs to run one of those places! Thanks for doing the research. Having been through school, Jimmy John’s has a special place in my heart. The others are kind of stale, just like their bread. I’ve also thought about opening a cell phone joint.

  • Phyllis Pieri said:

    What a great question and one I get asked on a daily basis. When people think of a franchise they usually think of food. Have you ever met someone who went into a business and 6 months later asked themselves, what was I thinking? I usually get people nodding their heads when I ask that question. Most of the time people get caught up in the “idea” of the business and don’t give enough thought into a the day and the life of actually being in the business. I am very passionate about helping people make the right decision based on many steps I take them through to understand their own personal values and strengths as they relate to franchising and guide them through the whole process. I always tell people, right now you don’t know what you don’t know. I love being their coach and advisor – and besides, my service is free – I am like a RE agent – so they have nothing to loose – worst case scenario – you will get a great education in franchising.

  • Shaun said:

    Wow, this is my favorite post so far. ;-p I used to eat at Blimpies all the time, but have lately focused my sandwhich eating efforts at Subway. Have you ever ate at Lennies? It’s much smaller but also much, much better than the rest. :)

  • MARILOU said:

    Hello my husband and I own and operate 6 SUBWAY franchises and love it! We jumped into it 13 years ago with one store and proceeded buying one every other year and several overseas. If you are trying to buy this particular franchise, you might have problems finding one for sale because they rarely are for sale and usually are sold immediately. There is fierce competition with these stores and there is a long waiting list to purchasing a store. With most Subways, you will be making money the first year, but with alot of hard work, long hours, and dedication- watch your labor and food costs!! It has been the best thing we ever did:)

  • Craig said:

    Given a choice I prefer Quiznos, although they are not healthy and expensive. Subway is all vegetables and no meat.

  • James said:

    I am addicted to Chipotle and while there are several in my metro area (Baltimore) there are NONE in my immediate area. I live off of a busy corridor (Balto. National Pike) and I know if there was a Chipotle over in this area it would stay PACKED. If I were to get started with a franchise it would definetly be CHIPOTLE!

  • Justin said:

    Thanks for the interesting article. I have always wondered how much a franchise costs.

  • Annie G said:

    I suppose Which Wich? is still small, but I prefer it to eat at over the others. (Schlotsky’s is also ok.) I’ve stopped going to both Quiznos and Subway because the ones in our area are dirty with slovenly employees.

    I wouldn’t consider ever running a franchise … ever.

  • Mona said:

    I would never and ever buy Subway, when you get a Subway it means you are buying a job for yourself. The people at the local District are so picky and not passion and heart for their franchisee. You have to be their slave and do and listen to whatever they say.That is why only a certain type of the people will go to buy Subway. If it is good location and profitable, it will go fast with the relatives and friends at the local District.

  • G.E. Miller (author) said:

    @ Marilou – how much net profit do you get from your six Subway stores?

    @ Mona – Please do tell further! Sounds like you have owned a Subway?

  • George Matthews said:

    Subway is total junk. They were junk 30 years ago and they haven’t changed. I haven’t even eaten at any of the others. The problem is they want to make their subs as cheap as they can. But that means a roll, some salad and very little meat.
    Five dollars for a foot long? They are only worth $3. I’d rather pay 48 for a sub with something on it.

  • Loyd Endings said:

    Subway’s 5 dollar footlong should be called “The Starvation Sub” because they put so little on it. It is a ripoff. The sandwich isn’t even worth a buck. The last one I ate all I could taste was their bland bread. Yuck!!!

    I would never buy a Subway sub again.

    And every time I leave a Subway I smell like a walking yeast infection due the stench of their bread being permeated in my clothing.

    I voted other. A local Hugo’s and Port of Subs put out very high quality grinders.

  • john said:

    subway is just terrible, I own just about 8 Jimmy Johns franchises now and its is the best. all the people that work at subway are assholes.

  • Josh said:

    I am considering opening a Jimmy Johns franchise. I have started businesses in the past but never a franchise. I’m not sure if it will be right for me. Any advice?

  • Chandler Arizona CPA said:

    Buying a franchise can be a good idea, but beware. Make sure you read the fine print before you sign. I have see many fail in recent times and the corporate office has not done much to assist.

  • Stranger said:

    I LOVE Subway sandwiches. I’d easy eat there 3x per week or more if I could. My $5.00 sandwich is more than I can eat. I only eat 1/2. It’s healthy and for $2.50 for a lunch… cheap! I just wish that each Subway store had spinach as an option.

  • SUBWAY LOYALIST said:

    There is Subway inside walmart by elcamino and watt ave in sacramento, they have a fresh baked bread daily, fresh vegetables and yes they have spinach and also they have a good customer service skills…winner!!!
    Just a comment to Lloyd, the $5 ANY footlong that was great deal compare to the rest of the subs out there. Also you were complaining about your subs that was tiny, you can always ask for more if u like. Subway has no limit when it comes to vegetables, so dont hesitate. You just have to let the Sandwich Artist know the way you want it because they are just following the formula. Also, if you like to have lotta meat in your sandwich,you can always Double the meat on your sub. Also they have more options like extra cheese, if you like a cheesy sandwich, Add bacon or even Add Avocado to make it more healthier!!! You guys should check that store out, you will be full, and leave happily!!! HAVE A GOOD SUBWAY DAY…

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