As with any new franchise, there are a number of startup costs to be aware of before opening your Jon Smith Subs sandwich shop. Your total investment in one of our franchises will fall around $300,000-$400,000, but this figure covers just about everything you’ll need to run your business. When you open a business on your own, it can be difficult to predict all of the expenses you’ll encounter, but with us, the cost of opening a sandwich shop franchise covers many of your expenses down the road, and makes your financial future a bit easier to predict.
The Cost of Opening a Sandwich Shop with Jon Smith Subs
Here’s a breakdown of exactly what you can expect with regard to the Jon Smith Subs franchise investment.
The Franchise Fee
When you’re considering the cost of opening a sandwich shop, one of the most important figures to keep in mind is the franchise fee. This fee entitles you to many of the benefits associated with running a franchise, including the use of our established and trusted brand name, access to information about our business model and procedures, and more. It also covers training and support throughout the franchise process.
Fees Associated with Your New Location
Included in your franchise fee are costs associated with choosing a location. You’ll be expected to pay a deposit, and should plan on paying about three months rent with your initial investment to help cover costs while your business is still getting up and running.
Furniture, kitchen equipment, food, and more, are all expenses that factor into the cost of opening a sandwich shop. When you’re opening a business own your own, it can be difficult to estimate these costs, but it’s much easier in the world of franchising. When you franchise with Jon Smith Subs, you can rely on our expertise to guide you towards just the right choices for your new kitchen, and you will have a good idea in advance of what capital you should set aside for inventory.
Liquid capital is one of the most important costs you should keep in mind. We ask that our franchisees have $150,000 of liquid capital available to help them during the first few months while their business is still gaining traction, and they may not have a steady stream of revenue yet. Having a sufficient amount of liquid capital will allow you to comfortably manage unexpected costs while your business is growing, and it also helps to ensure that you’ll be able to prove to the bank or lendor of your choice that you’re worthy of the financing you’ll be asking for in order to make this significant investment. We also require certain net worth minimums of our franchisees, which is an additional piece that goes toward acquiring the financing you need.
When you decide to franchise with us, you will receive a more detailed breakdown of the cost of opening a sandwich shop. Contact us today to learn more about becoming a franchisee!