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Below is an in-depth analysis and side-by-side comparison of Tubby's Sub Shops vs Jerry's Subs & Pizza including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $112,900 - $293,500 | $250,000 - $350,000 |
Franchise Fee | $17,500 - $20,000 | $25,000 |
Royalty Fee | 4%-6% | 6% |
Advertising Fee | 4% | - |
Year Founded | 1968 | 1954 |
Year Franchised | 1978 | 1980 |
Term Of Agreement | 10 years | 20 years |
Term Of Agreement | 10 years | 20 years |
Renewal Fee | - | $25K |
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/Yes |
Equipment | No/Yes | No/Yes |
Inventory | No/Yes | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | On-The-Job Training: 92 hours Classroom Training: 28 hours Additional Training: Company store | - |
Support | Newsletter Meetings/Conventions Toll-Free Line Grand Opening Field Operations Site Selection | Newsletter, Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
Marketing | National Media Social media | Co-op 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)
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Absentee ownership of franchise is allowed. (95% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | Yes | Yes |
Canada Expansion | No | No |
International Expansion | No | No |
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.
The first Jerry's Subs opened in Wheaton, Maryland, in 1954, selling over-stuffed submarine sandwiches and New York-style pizza. Since it started franchising in 1980, the company has grown to include locations along the East Coast, as well as in the Caribbean and Central America.