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Below is an in-depth analysis and side-by-side comparison of Baker Bros. American Deli vs Atlantic City Sub Shops including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $430,500 - $656,000 | $100,000 - $275,000 |
Franchise Fee | $25,000 | $15,000 |
Royalty Fee | 4% | 5% |
Advertising Fee | - | - |
Year Founded | 1998 | 1986 |
Year Franchised | 2000 | 1995 |
Term Of Agreement | 10 years | 3 years |
Term Of Agreement | 10 years | 3 years |
Renewal Fee | $5K | - |
Business Experience Requirements |
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Experience | - | |
Financing Options |
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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/Yes | No/No |
Payroll | No/Yes | No/No |
Training & Support |
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Training | - | Available at headquarters, Available at franchisee's location |
Support | Meetings, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Grand opening, Internet, Field operations/evaluations |
Marketing | Ad slicks, Regional advertising | Ad slicks |
Operations |
International franchisees required to buy multiple units/master licenses Number of employees needed to run franchised unit: 15 - 18
Absentee ownership of franchise is allowed. |
0% of all franchisees own more than one unit Number of employees needed to run franchised unit: 13 - 15
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | No |
International Expansion | No | No |
The Baker Bros believe that they have one of the most franchisee-friendly programs in their industry. Baker Bros is franchised through an Area Development Agreement that generally requires a 2 to 5 store minimum for individual franchisees. The Area Development Agreement covers an exact geographical area, franchise terms and conditions, number of units to be opened under the agreement and other details of the franchise program. Baker Bros offers an extensive Franchise Support Program. Tom and Ken are always available to assist you and to answer any questions that you might have. In addition, one of our Franchise Advisors will come to your store periodically to provide personal assistance from Baker Bros. Whatever you might need, there will always be a person at Baker Bros who can help you.
Brett Perlman, Scott Perlman and Santo Formica founded Atlantic City Sub Shops in 1986, opening their first store in Egg Harbor Township, New Jersey, just west of the shoreline destination. From that location, the partners began serving submarine sandwiches for customers who would eat in, take out or order delivery.
The company overnights sandwiches made in the Egg Harbor store to customers who don't have an Atlantic City Sub Shop location near them.