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- 2022 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$310K - $616K
- Units as of 2021
17 54.5% over 3 years
Here’s what you need to know if you’re interested in opening a Jon Smith Subs franchise.
Jon Smith Subs has worked to build a reputation for serving delicious, fresh subs and mouth-watering ribs straight off the grill since 1988. Jon Smith Subs wishes to be known for the quality and fresh ingredients in its subs, as well as their generous fillings portions.
Sandwiches may be a staple in any American menu, and Jon Smith Subs believes it took this concept and blew it out of the water. The story of this sandwich company started when its founder, Jon Smith, bought two sandwich shops that were struggling to stay afloat. He revamped the menu and brought in his signature fresh ingredients, which led to the story of the Jon Smith Subs franchise today.
After decades of hard work, Jon Smith Subs began to franchise in 2007 and is parented by United Franchise Group.
Jon Smith Subs has opened several franchises in the United States and around the world.
Why You May Want to Start a Jon Smith Subs Franchise
Opening a Jon Smith Subs franchise requires a franchisee who is results-oriented. An individual who is all about numbers and can run multiple outlets may be a great fit. Furthermore, a franchisee should have management experience, sales and marketing experience, and vital business skills.
Jon Smith Subs has been ranked in Entrepreneur’s Top Food Franchises. This ranking is based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.
What Might Make a Jon Smith Subs a Good Choice?
A Jon Smith Subs franchise may offer great versatility, which includes takeaway service and sit-in restaurant services. Additionally, a franchisee with Jon Smith Subs will likely enjoy the brand recognition that the franchise has developed over the years. Jon Smith Subs also prides itself on its tried and tested business model that they pass on to their franchisees.
Usually, a franchisee with Jon Smith Subs is not expected to be a hands-on manager running the day-to-day operations. You may choose to be an absentee owner, but you should be ready to hire and manage your restaurant’s team members. Franchisees may also be allowed to open more than one Jon Smith Subs franchise.
How To Open a Jon Smith Subs Franchise
To be part of the Jon Smith Subs team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include royalty, advertising fees, and potential renewal fees. Franchisees will also need to meet the company’s set liquid capital requirements.
Jon Smith Subs has partnered with third-party financial lenders that may help cover the costs of the startup, equipment, inventory, accounts receivable, and payroll.
Jon Smith Subs provides training to franchisees once you qualify to become a franchisee. You can expect to undergo classroom training, as well as on-the-job training. Jon Smith Subs also offers franchisees support in the form of lease negotiation and the grand opening ceremony.
About Jon Smith Subs
- Franchising Since
- 2007 (15 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
This company is seeking new franchisees worldwide.
- # of Units
- 17 (as of 2021)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Jon Smith Subs franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $309,500 - $615,790
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Cash Requirement
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 10-25% off franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 35 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- Third Party Financing
- Jon Smith Subs has relationships with third-party sources which offer financing to cover the following: startup costs, equipment, inventory, accounts receivable, payroll
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 90 hours
- Classroom Training
- 64.5 hours
- Additional Training
- At existing store
- Ongoing Support
Purchasing Co-opsNewsletterMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Work with a free franchise expert and get what you need to start a Jon Smith Subs franchise.
Curious to know where Jon Smith Subs ranked on other franchise lists? Find out below.
Are you eager to see what else is out there? Browse more franchises that are similar to Jon Smith Subs.
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