Forums: Discussions for entrepreneurs and small business.

Hi, I'm in New Orleans and presently a self employed contractor with my own building and thinking of investing into the Subway Brand. 1st, I just newly renovated the building from scratch from Hurricane Katrina damage, but unfortunately didnt build out to Subway specifications, so the new building would have to be practically ripped up, moving bathrooms, walls tearing up new ceramic and so on, but I figure since the building is mine with a very minimal mortgage, I can do my own buildout at a fraction of the cost, and I would not have to pay myself rent, but I do not want to work full time in the store because my schedule is pretty demanding as it is. So do you think it can be successful with only working there 10-12 hours per week and keeping my construction company running full time? Secondly, is it possible to buy the franchise, do the buildout and then soon after sell the franchise and just benefit off the rental portion? Is this just a pipe dream or could turn out to be a decent investment? Just trying to find out if it would be worth tearing my newly constructed building apart and gambling on a new franchise with no restaurant experience except Taco Bell 20 years ago as a 16 year old (lol). Thanks

-------------------------

Seriously looking into buying into a Subway franchise in Los Angeles area but was hesitant until reading the above posts.  Thank you all for the wealth of information.  Does anyone have any further words of wisdom? 

-------------------------

Looking at opening a subshop. Near a highschool. With fair amount of traffic. What would the costs be for food, rent(what would you recommend for square footage) utilities, insurance etc. A footlong would sell for $5 and 6" for 3.50. How many subs would sell on average. Open from 10:00 til 10:00 Mon-Sat. Any other info would be greatly appreciated.

-------------------------

 

 

 I work with buyers all over USA, CAN and the rest of the world....15 countries so far.

My advice is similiar to all USA inquiries; I happen to be based in the Los Angeles area

 

mrfranchiseman.com

A minimum-wage sandwich artist employee could potentially profit more than her Subway franchisee boss!

I'd rather open my own business instead of becoming a franchisee. 

No risk no reward.

-------------------------

FLASHONE

 

Rather a strange post. You could also potentially make min wage in your own business.....if you calculate the numbers you will know what you are going to make before you buy a store, and conversely you can then set your price and the seller can take it or leave it.

Remember too that entry into a franchise also gives you a good education and opens up new opportunities; that is how so many Subway owners became multiunit owners and entered other brands. Following your methodology, they would still be sandwich artists.

Subway, despite some rough times in the 90's, has become one of the most successful franchises in history, and has made more millionaires than any other franchise. You should be fine if you get some expert help in evaluating the opportunity.

Want to reconsider your comment?

 

mrfranchiseman

Mrfranchiseguy,

13 years ago I began working in a QSR as a delivery driver then a restaurant manager, and worked my way up to a middle manager in corp America. I have a BS degree in IT and an MBA and recently stepped back to look at my future. I've decided that it may be time to venture out of the corp world and become a franchisee since my current role supports franchisees and their technology. I have a coworker who is interested in partnering up who could provide the net worth as I come with the experience and education. We are looking at subway as an opportunity to get into the franchise business and growing. We both want to move out of the corp world and work for ourselves. 

1.how do we get started?

2. We are looking to keep working our current positions and open a restaurant (is this possible)? 

3. Our 5 year goal is to take all profits from the first subway and put them towards a second. Take profits from first and second and put towards a third, then once opening up the 3rd, become full time franchises and resign from corporate America. 

4. By our 10th year we would like to own 5-10 stores

how much of this can happen? Is there an average net profit number from subway that can give us some kind of idea what we are looking at? Is subway the right choice?

-------------------------

BIAGITEC2

Great questions.

1 How to get started. All on my website under Articles; then call me for clarifications

2. Keep jobs, oversee a Subway or two. Not a good idea, they generally do not like that.

   Need to be involved and take care of investment and their expectations. Family    member could do it too, but I have to explain when you call

3. That is exactly how you grow and how others did it....one at a time

4. Multiunit ownership is possible, but used to be much easier 15 years ago. Having said that, many years ago 5 would have been a good number, today maybe you only need 2 or 3 as sales and profits are up....

 

mrfranchiseman.com, call me off my website number or e mail me