Is Subway a Good Franchise Opportunity?
New Subway franchises are opening at the rate of about 1,000 per year – an indication that this system will continue to be the leader in its category for many years to come. Unlike McDonald’s – who may have reached its peak in franchise growth – Subway franchise opportunities are still ripe for the picking.
The company website provides a user-friendly experience to investigating the opportunity, yet they do not indicate whether prospects need to meet a net worth requirement in order to qualify for a franchise. Most systems of this caliber do require prospects to have a net worth in the range of $300,000 to $500,000 or more before the application is approved.
Operating a sub shop may not be the most challenging and dynamic of franchise opportunities so if you are looking at a Subway franchise to stimulate your creativity and entrepreneurial savvy, this may not be your best option. If you are a people person with a passion to solve problems and provide an exciting service experience, Subway is not the way to go.
To appreciate this opportunity and become a successful and satisfied franchisee, your role will be focused more on managing the business rather than engaging in the “front line” operations: making the sandwiches. That means you will be looking after scheduling, buying, payroll, and other franchisee matters while ensuring that your patrons' appetites are satisfied to the fullest.
Owning a Subway franchise will not be a walk in the park, especially if your success leads you to owning multiple locations. If you plan to own just one location, be prepared to spend a lot of your time in the back office and managing employee performance. If you have teenage children, owning a single unit can make the perfect family business. The financial investment is reasonable and make you an attractive income if you select a viable location.
