Subways Success

Subways is now the largest Franchise in the WORLD. (it overtook MCD in 2002 to become the biggest franchise in America)

keys to success:

• Subway has a franchise fee of $15,000 (McDonald's charge a franchise fee of $1,012,200 to $1,840,00)
• simple equipment keeps cost and space down.
• There's no fryer, with its expensive exhaust system
• meat arrives already sliced (Subway's home state of Connecticut requires that anyone operating an electric slicer be at least 21 years old.) - That allows us to hire high school kids."
• adding breakfast didn't require additional equipment. Eggs come precooked and frozen and are heated in the oven.
• 7 percent of the 2,300 loans made to Subway franchisees between 2000 and 2009 defaulted (Competing sub chain Quiznos had a failure rate of 25 percent.)

Read more at Jacksonville.com: http://jacksonville.com/business/2011-03-08/story/subway-passes-mcdonalds-worlds-largest-restaurant-chain#ixzz1IZ7rdZAk