Subway vs Schlotzsky's Franchise Comparison

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

Start-Up Costs and Fees

 
Subway Franchise
Schlotzsky's Franchise
Investment $139,550 - $342,400$719,400 - $959,400
Franchise Fee $15,000$35,000
Royalty Fee 8%6%
Advertising Fee 4.5%4%
Year Founded 19651971
Year Franchised 19741977
Term Of Agreement 20 years-
Term Of Agreement 20 years-
Renewal Fee none-


Business Experience Requirements

 
Subway Franchise
Schlotzsky's Franchise
Experience
  • General business experience
  • -

    Financing Options

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

    Training & Support

     
    Subway Franchise
    Schlotzsky's Franchise
    Training On-The-Job Training: 33 hours Classroom Training: 62 hours Additional Training: Training available in Australia, China, Germany, India, Montreal, Canada & Miami On-The-Job Training: 240 hours Classroom Training: 50 hours
    Support Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet PlatformPurchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform
    Marketing Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/appCo-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app
    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)

    -

    Expansion Plans

     
    Subway Franchise
    Schlotzsky's Franchise
    US Expansion YesYes
    Canada Expansion No-
    International Expansion YesYes

    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 Schlotzsky's

    Founded in 1971, Schlotzsky's is a pioneer in the fast casual restaurant category, offering customers an inviting restaurant feel, affordable meals throughout the day, and great food that has created a passionate following among customers throughout the country and the world. Our delicious and unique products, exciting, modern restaurant design, superior franchise support and committed ownership make a Schlotzsky's franchise a great business opportunity.  Joining the Schlotzsky's franchise family will open the door to an exciting future.

    Veteran Incentives  $10,000 off franchise fee           

    "Entrepreneur
    #349 in Franchise 500 for 2020.
    #374 in Franchise 500 for 2021.