|
Below is an in-depth analysis and side-by-side comparison of Tubby's Sub Shops vs Snappy Tomato Pizza including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
||
Investment | $112,900 - $293,500 | $115,500 - $256,000 |
Franchise Fee | $17,500 - $20,000 | $14,000 |
Royalty Fee | 4%-6% | 5% |
Advertising Fee | 4% | 2.5% |
Year Founded | 1968 | 1978 |
Year Franchised | 1978 | 1981 |
Term Of Agreement | 10 years | 15 years |
Term Of Agreement | 10 years | 15 years |
Renewal Fee | - | $2.5K |
Business Experience Requirements |
||
Experience | - | - |
Financing Options |
||
In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/Yes | No/No |
Start-up Costs | No/Yes | No/No |
Equipment | No/Yes | No/No |
Inventory | No/Yes | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
||
Training | On-The-Job Training: 92 hours Classroom Training: 28 hours Additional Training: Company store | Additional training available as needed |
Support | Newsletter Meetings/Conventions Toll-Free Line Grand Opening Field Operations Site Selection | Newsletter, Meetings, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
Marketing | National Media Social media | Co-op advertising, Ad slicks, Regional advertising |
Operations |
20% of all franchisees own more than one unit Number of employees needed to run franchised unit: 3 - 4
Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators)
|
International franchisees required to buy multiple units/master licenses Number of employees needed to run franchised unit: 20 Absentee ownership of franchise is allowed. (80% of current franchisees are owner/operators) |
Expansion Plans |
||
US Expansion | Yes | Yes |
Canada Expansion | No | No |
International Expansion | No | Yes |
Founder Richard Paganes opened the first Tubby's Sub Shop in 1968 in St. Clair Shores, Michigan. The company began franchising in 1978 and has locations in the Midwest and southeastern United States. Tubby's Sub Shop, which began as a family-owned and -operated business, is now public and is based in Roseville, Michigan.
In 1978, Bob Rotunda went to the races and put all his money on a horse named Snappy Tomato. The horse won. Rotunda took his winnings and opened the first Snappy Tomato Pizza that year. The company began franchising three years later.
Today Snappy Tomato Pizza has locations across the United States, Canada and Great Britain serving pizza, hoagies, salads and appetizers.