Tubby's Sub Shops vs Subway Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Tubby's Sub Shops vs Subway including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
Tubby's Sub Shops Franchise
Subway Franchise
Investment $112,900 - $293,500$139,550 - $342,400
Franchise Fee $17,500 - $20,000$15,000
Royalty Fee 4%-6%8%
Advertising Fee 4%4.5%
Year Founded 19681965
Year Franchised 19781974
Term Of Agreement 10 years20 years
Term Of Agreement 10 years20 years
Renewal Fee -none


Business Experience Requirements
 
Tubby's Sub Shops Franchise
Subway Franchise
Experience -
  • General business experience
    		•

    Financing Options
     
    Tubby's Sub Shops Franchise
    Subway Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/YesYes/Yes
    Start-up Costs No/YesNo/Yes
    Equipment No/YesYes/Yes
    Inventory No/YesNo/Yes
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support
     
    Tubby's Sub Shops Franchise
    Subway Franchise
    Training On-The-Job Training: 92 hours Classroom Training: 28 hours Additional Training: Company store On-The-Job Training: 33 hours Classroom Training: 62 hours Additional Training: Training available in Australia, China, Germany, India, Montreal, Canada & Miami
    Support Newsletter Meetings/Conventions Toll-Free Line Grand Opening Field Operations Site Selection Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform
    Marketing National Media Social media Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app
    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)

    		 65% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 8-12

    Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)

    Expansion Plans
     
    Tubby's Sub Shops Franchise
    Subway Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion NoYes

    Company Overviews

    About Tubby's Sub Shops

    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.

    About Subway

    In 1965, 17-year-old Fred DeLuca and family companion Peter Buck opened Pete's Super Submarines in Bridgeport, Connecticut. With a credit from Buck for just $1,000, DeLuca trusted the modest sandwich shop would procure enough to put him through school. In the wake of battling through the initial couple of years, the organizers changed the organization's name to Subway and started diversifying in 1974. Offering a new, solid contrasting option to fast-food eateries, Subway has establishments all through the United States and in a few nations, with areas in customary and nontraditional locales alike.

    In contrast with different rivals in the fast food industry, where franchisees need to pay millions, - for example, McDonald's ($1-2 million) and KFC ($1.3-2.5 million), investors in Subway need to pay just a portion of that.

    The total investment is an estimated $150,050 - $328,700 in the United States and $102,000 to $234,000 in Canada.

    Veteran Incentives  Franchise fee waived if opening on a military/government location; 50% off franchise fee if opening on non-government location but receiving government financing
    "Top    ""
    #2 on Canada's top franchises 2020.
    #107 in Franchise 500 for 2020.