Subway Franchise Costs, Fees and Profit Details for 2026

Brand overview

Subway is a quick-service restaurant brand specializing in made-to-order submarine sandwiches, wraps, salads and bowls. Founded in 1965, it operates in over 100 countries and emphasizes simple operations, flexible footprints and digital convenience for guests.

The Subway story began in 1965 when 17-year-old Fred DeLuca partnered with family friend Dr. Peter Buck to open a small sandwich shop in Bridgeport, Connecticut. What started as a way to help DeLuca pay for college quickly evolved into one of the world’s most recognizable quick-service restaurant brands. Subway has grown to nearly 37,000 restaurants worldwide.

Mission: Serve convenient, made-to-order food with broad appeal while evolving to meet guest expectations in taste, value and convenience.

Vision: Leverage brand scale, innovation and format flexibility to grow profitably across traditional and non-traditional venues worldwide.

• Freshly Made, Your Way: Every sandwich is built to order, allowing guests to customize bread, protein, toppings and sauces for a personalized meal.

• Better-for-You Choices: Subway offers an array of nutritious options, including fresh vegetables, lean proteins and low-fat dressings to fit a range of dietary goals.

• Everywhere You Go: With tens of thousands of locations worldwide, Subway provides easy access to a familiar, reliable meal whether you’re traveling or close to home.

• Quick and Convenient: Streamlined service, mobile ordering, curbside pickup and drive-thru options make it simple to grab a meal on the go.

• Modern Design and Experience: The updated Fresh Forward restaurants feature brighter spaces, digital menu boards and an enhanced guest experience.

• Innovative Menu: Ongoing menu updates introduce new flavor combinations and chef-curated subs, keeping the brand fresh and relevant to evolving tastes.

• Established Global Brand: Franchisees benefit from nearly 60 years of operational experience and one of the most recognized restaurant names in the world.

• Low-Cost Entry and Scalable Growth: Subway’s low CAPEX, lean labor model and flexible formats make it accessible for new investors and ideal for multi-unit expansion.

• Multi-Unit Ownership Packages: Growth-focused options, including buy-and-build and rollup packages, allow investors to strategically expand their portfolio.

• Comprehensive Training and Development: The University of Subway® program offers online and in-restaurant training to prepare owners and their teams for success.

• Turnkey Support System: Franchisees receive expert guidance in site selection, design, construction, operations and ongoing marketing from experienced field teams.

• Proven Supply Chain and Vendor Partnerships: The Independent Purchasing Cooperative (IPC) ensures consistency, quality and competitive pricing across all locations.

• Continuous Innovation and Modernization: Ongoing investments in design, technology and digital ordering keep franchisees aligned with consumer demand and industry trends.

Franchise details

Subway is prioritizing multi-unit candidates across the United States and globally, including non-traditional venues (airports, C-stores, campuses, hospitals).

Initial Costs: The estimated initial investment required to begin operation of a Subway franchise ranges from $263,000 to $630,000. The 2025 Franchise Disclosure Document (FDD) breaks these costs down as follows:

Initial Franchise Fee: The standard franchise fee for a Subway restaurant is $15,000, due in full when signing the franchise agreement. Reduced fees of $7,500 are available for:

• Qualified U.S. Armed Forces veterans purchasing their first franchise.

• Qualified existing Subway franchisees purchasing additional restaurants in good standing.

• Qualified affiliate company franchise owners or business developers approved by Subway.

• Certain non-traditional or community development program locations.

Ongoing Fees: According to the 2025 FDD, Subway franchisees are responsible for the following ongoing payments and fees:

ROI Potential: The Subway FDD does not include a Financial Performance Representation. Candidates should conduct thorough due diligence with current franchisees and analyze local assumptions.

Subway provides a 3-week required training that combines University of Subway online modules with in-restaurant instruction at certified locations. The University platform supports owners and crew (multi-language) for onboarding and ongoing learning.

Assistance includes site selection collaboration, design/construction guidance, launch support, marketing resources and ongoing field operations support, with a strong emphasis on multi-unit scalability.

Modern restaurant design (Fresh Forward 2.0), integrated digital ordering and pickup, and drive-thru capabilities are central to the guest experience upgrades rolling out globally.

• Liquid Assets: $100,000 per location

• Net Worth: $150,000 per location

Prior restaurant/business/franchising experience preferred.

While many owners operate multi-unit portfolios with managers, Subway expects active oversight and the operational capability to meet brand standards across locations. Franchise term is 20 years.

Subway does not list in-house financing on its site; qualified candidates typically use third-party lenders or SBA products where eligible. Confirm current options with the franchising team.

“When I decided to purchase my first Subway restaurant in 2001. I did not have much money at the time, but I knew from experience that it would be a profitable venture.”

• Bill Mathis, Franchisee — Minnesota. Read his story here.

“Subway always focuses on health and the well-being of others, which has always been my focus on life. I’ve always loved the product and I was very impressed with the leadership and vision of Subway.

“I used to operate under a tremendous amount of pressure, so I know and understand how to build a strong team to accomplish the mission. My time in service has helped in owning a business due to developing people to maximize their potential, following guidelines, respect for authority, leadership, and team work.

“I’ve already convinced three other military veterans to become Subway franchisees. Most veterans are accustomed to following guidelines, inspections, training, and supporting their community. Subway is the perfect fit for a veteran.”

• Michael McNeil, Franchisee — Irmo, South Carolina

Visit the Subway Newsroom for more franchisee testimonials and success stories from veterans.

Market and competition

The global sandwich market was valued at $428.15 billion in 2024 and is projected to reach $646.25 billion by 2032, growing at a CAGR of 5.48%. North America held 46.16% share in 2024, supported by fast-paced lifestyles, dual-income households and demand for affordable, quick meals.

Primary U.S. competitors include Jersey Mike’s, Jimmy John’s, Firehouse Subs, Potbelly and regional deli/QSR concepts. Subway differentiates via brand scale/awareness, broad real-estate flexibility, lean back-of-house, and aggressive non-traditional growth — advantages that can matter in travel, institutional and convenience environments.

1. Inquire and Qualify: Complete the online questionnaire to begin; upon preliminary qualification you’ll receive FDD access via the portal.

2. Connect and Apply: Participate in discovery calls/meetings to align on territory, growth plan and experience; then submit the formal application.

3. Site Selection: Collaborate with Subway’s real estate team to identify and approve sites (traditional or non-traditional).

4. Award and Agreements: Upon approval, receive franchise award (often multi-unit) and execute agreements.

5. Design and Build: Work with Subway design/construction teams to build or remodel to current prototype.

6. Training: Complete 3-week training (University of Subway® online + in-restaurant).

7. Open and Operate: Launch with operational support, marketing resources and supply chain onboarding.

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