Subway vs Groucho's Deli Franchise Comparison

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

Start-Up Costs and Fees

 
Subway Franchise
Groucho's Deli Franchise
Investment $139,550 - $342,400$82,548 - $380,768
Franchise Fee $15,000$18,000 - $28,000
Royalty Fee 8%5%
Advertising Fee 4.5%-
Year Founded 19651941
Year Franchised 19742001
Term Of Agreement 20 years10 years
Term Of Agreement 20 years10 years
Renewal Fee none-


Business Experience Requirements

 
Subway Franchise
Groucho's Deli Franchise
Experience
  • General business experience

  • Industry experience
  • General business experience

  • Financing Options

     
    Subway Franchise
    Groucho's Deli Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees Yes/YesNo/No
    Start-up Costs No/YesNo/No
    Equipment Yes/YesNo/No
    Inventory No/YesNo/No
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support

     
    Subway Franchise
    Groucho's 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 PlatformNewsletter, Meetings, Toll-free phone line, Grand opening, Internet, 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/appCo-op advertising, 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)

    20% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 13

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


    Expansion Plans

     
    Subway Franchise
    Groucho's Deli Franchise
    US Expansion YesYes
    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 Groucho's Deli

    Harold "Groucho" Miller came to Columbia, S.C. in 1941 with a handful of original recipes for potato salad, coleslaw, and various salad and sandwich dressings, most of which were thought up during his childhood in a Philadelphia orphanage. These humble beginnings along with the idea that, "quality is the most important ingredient in a sandwich," have led Groucho's to legendary restaurant status for 80 years.