Subway vs Baker Bros. American Deli Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Subway vs Baker Bros. American Deli including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees

 
Subway Franchise
Baker Bros. American Deli Franchise
Investment $139,550 - $342,400$430,500 - $656,000
Franchise Fee $15,000$25,000
Royalty Fee 8%4%
Advertising Fee 4.5%-
Year Founded 19651998
Year Franchised 19742000
Term Of Agreement 20 years10 years
Term Of Agreement 20 years10 years
Renewal Fee none$5K


Business Experience Requirements

 
Subway Franchise
Baker Bros. American Deli Franchise
Experience
  • General business experience

  • General business experience
  • Marketing skills

  • Financing Options

     
    Subway Franchise
    Baker Bros. American Deli Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees Yes/YesNo/Yes
    Start-up Costs No/YesNo/Yes
    Equipment Yes/YesNo/Yes
    Inventory No/YesNo/Yes
    Receivables No/NoNo/Yes
    Payroll No/NoNo/Yes

    Training & Support

     
    Subway Franchise
    Baker Bros. American Deli Franchise
    Training 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 Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet PlatformMeetings, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/appAd slicks, Regional advertising
    Operations 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)

    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.


    Expansion Plans

     
    Subway Franchise
    Baker Bros. American Deli Franchise
    US Expansion Yes-
    Canada Expansion NoNo
    International Expansion YesNo

    Company Overviews

    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.







    About Baker Bros. American Deli

    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.