One major franchise that needs a small investment and gives a range of possible locations to franchisees is Subway, properties of Doctor’s Associates, a Florida corporation with headquarters in Milford, Connecticut. Began in 1965, subway near me has a lot more than 25,278 units in 83 countries and annual sales exceeding $3.9 billion.
Subway publishes a franchise-offering circular for prospective franchisers that includes the names, addresses, and cell phone numbers of active franchise holders, listed by state. Subway encourages the potential franchise buyer to go to and observe the restaurant where they are training. The first fee is $15,000 for first-time franchise buyers. This fee is reduced to $4,000 for qualified owners purchasing additional franchises. Total initial investment from the franchisee ranges from $94,300 to $222,800, based on location and equipment needs. Nontraditional locations may require much less capital.
Subway units are situated in a wide range of sites which include schools, colleges, offices, hospitals, airports, military bases, food markets, and truck stops-even casin.os. Most remarkable is definitely the company’s statement that less than 1 percent from the units fail, that is partly accounted for by franchise holders’ options to sell their unit or resell it for the company. Depending on company approval, the location, hours of operation, and further food items offered are flexible. The conventional subway bread, however, can not be omitted.
Nobody should buy a Subway franchise-or other restaurant-without backup learning and experience. Subway franchise buyers attend the Franchise Training Course at headquarters at their particular expense. Some 2,000 franchisees each year attend the 2-week course covering management, accounting and bookkeeping, personnel management, and marketing. On-the-job learning nearby Subway restaurants is scheduled as well, totaling 34 in-store hours.
Three or four trainees are assigned to a training restaurant. The buyer pays a weekly franchise fee of 8 percent as well as a 3.5 percent advertising fee based upon sales. The customer has the option of life insurance coverage; health insurance is an additional purchase option. Each franchise buyer receives a copy of any confidential operations manual containing about 580 pages. Menu Selection Subway’s flexibility in offering service in various types of locations is additionally seen in the kinds of food offered: submarine sandwiches, salads, cookies, a low-fat menu featuring sandwiches with less than 6 grams of fat, along with a low-carb option featuring wraps.
Subway features bread items which are prepared from frozen dough and served fresh from the oven. The frozen dough is thawed in a retarder unit in a refrigerator. The bread rises in a proofer and is also then baked in a convection oven, where a fan speeds the baking process. Bread formulas are specified at company headquarters and uniformly followed worldwide. Fresh-baked goods include white and wheat scored bread, deli-style rolls, wraps, breakfast selections (at some stores), cookies, and specialty items like apple pie.
Subway History The Subway story began when Fred DeLuca, its cofounder, was 17 yrs old. He and a family friend, Dr. Peter Buck, worked together on your own business plan to get a submarine sandwich shop. It took them four hours to produce and was implemented with a loan of $1,000 from Dr. Buck. The initial restaurant was opened in Bridgeport, Connecticut, in 1965.
It did well in their first summer with the aid of advertising slogans like ”Put a foot inside your mouth,” emphasizing the foot-long sandwich, and ”When you’re hungry,make tracks for subway.” When summer ended, so did the majority of its sales. Dr. Buck suggested tjyxda a second restaurant. ”That way men and women will see us expanding and think that we’re successful.” It was not until they had five stores and locations the stores began making profits. DeLuca is different the company’s system of franchise development many times over the years and has kept the reasoning easy and comparatively cheap for franchise buyers.