How much does it cost to own a Subway franchise?


Quick Answer

As of January 2015, the total cost to open a Subway franchise is between $108,000 and $300,000, including start-up costs and operating expenses, according to About.com. After initial costs, franchisees are required to pay an 8 percent royalty fee based on gross sales.

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Full Answer

It is preferable that the franchisee pays the start-up fees with 50 percent cash and 50 percent credit, according to About.com. Franchisees also pay a one-time franchise fee of $15,000, and pay an additional 3.5 percent royalty for advertising costs.

Each franchisee must undergo a two-week classroom training that teaches business concepts. Following the lessons, the franchisee is subject to an examination.

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