--- title: "Franchise Deep Dive: Schlotzsky's Franchise Costs, Fees, Profit and Data" url: https://burnaze.com/article/ba77d622-ac72-476c-a5b3-a10e2565c5ac source: "1851 Franchise" original_url: https://1851franchise.com/franchise-deep-dive-schlotzskys-franchise-costs-fees-profit-and-data-2723688 category: "Sandwich & sub" industry: "Restaurants" segment: "Sandwich & sub" topics: ["Finance & M&A"] published: 2023-10-31T20:15:49.000Z modified: 2026-11-01T22:33:58.577Z image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/2550eba7d8399dc4ce800a30c2bd67846456.jpg --- # Franchise Deep Dive: Schlotzsky's Franchise Costs, Fees, Profit and Data **TL;DR:** Schlotzsky's, a fast-casual sandwich franchise, has 338 locations across 28 states and is on the brink of aggressive expansion with backing from parent company Focus Brands. The estimated total investment to begin a Schlotzsky's franchise ranges from $568,600 to $1,265,340. *originally published in 1851 Franchise on 2023-10-31. [Read the original](https://1851franchise.com/franchise-deep-dive-schlotzskys-franchise-costs-fees-profit-and-data-2723688).* ## Key facts - Schlotzsky's has 338 locations - Average net sales: $891,141 - $1,102,012 - Franchise fee: $35,500 ## Story With backing and support from parent company Focus Brands, Schlotzsky’s appears to be on the brink of aggressive expansion in the not-so-distant future. REPORTED COST TO GET IN: $568,600 - $1,265,340 REPORTED ROI (Item 19): $891,141 - $1,102,012 (average net sales per quartile) ## Brand overview Schlotzsky's is a fast casual sandwich franchise concept known for its hearty sandwiches served on sourdough. The menu includes a variety of sandwiches, salads, soups and an array of desserts, including Cinnabon products. The brand is situated in the competitive sandwich segment alongside other brands like Jimmy John’s, Jersey Mike’s and Subway. Schlotzsky’s started as a small sandwich shop in Austin, Texas in 1971. Originally, it only served its most famous sandwich — the Original — and its hours varied based on the availability of muffaletta. Schlotzsky's has since grown to have 338 locations across 28 states, with most locations in the south and southwestern regions of the country. Schlotzsky's is a counter-serve quick service chain most well-known for its sandwiches. Their most famous sandwich is The Original, which contains ham, salami, 3 cheeses, a variety of vegetables and a signature sauce on a sourdough bun. The brand also serves specialty pizzas, salads, soups, chips and dessert options, including Cinnabon cinnamon rolls. The brand offers dine-in, drive-thru, take-out, online ordering and catering options. Schlotzsky's offers flexible footprints and franchise outlet options including: - Non-traditional shops (within malls or airports, for example) - Drive-thru shops - Traditional, stand alone shops ## Sales data According to Schlotzsky's 2023 Franchise Disclosure Document (FDD), the total average net sales per quartile for 212 franchise locations with a drive-thru was $1,102,012. The averages for each quartile for the fiscal year of 2022 of locations with a drive-thru are indicated below: - Top Quartile: $1,638,915 - Second Quartile: $1,184,553 - Third Quartile: $927,011 - Bottom Quartile: $657,569 The total average net sales per quartile for 36 traditional franchises without a drive-thru for the fiscal year of 2022 was $891,141. The averages for each quartile for the fiscal year of 2022 of locations without a drive-thru are indicated below: - Top Quartile: $1,569,832 - Second Quartile: $911,551 - Third Quartile: $680,140 - Bottom Quartile: $403,042 The averages listed above do not include non-traditional locations, such as those in airports or shopping malls, franchised locations without a Cinnabon Express included and other co-branded franchised locations. ## Franchise costs The estimated total investment necessary to begin the operation of a Schlotzsky's franchise ranges from $568,600 - $1,265,340. The costs to begin an operation of a Schlotzsky’s location are indicated below: - Franchise Fee: $35,500 - Construction and Build Out Costs: $293,050 - $526,500 - Permitting: $1,800 - $11,000 - Equipment Package: $87,750 - $170,820 - Millwork: $40,500 - $53,820 - Furniture: $17,550 - $35,100 - Menu Board, Graphics and Interior Signage: $12,00 - $22,600 - Exterior Signage: $20,400 - $46,800 - Computer System: $26,000 - $60,000 - Smallwares: $6,700 - $7,500 - TV/Music: $2,000 - $3,000 - Architect/Engineer: $5,000 - $50,000 - Rent: $5,000 - $15,600 - Grand Opening Marketing: $15,000 - $25,000 - Legal and Accounting Fees: $3,000 - $12,000 - Insurance: $1,750 - $8,800 - Misc. Opening Costs and Office Supplies: $1,750 - $8,800 - Security Deposits: $7,000 - $10,000 - Training Fees: $0 - $5,200 - Travel and Living Expenses During Training: $10,000 - $40,000 - Opening Inventory: $7,500 - $25,000 - Cinnabon Express Bakery Initial Franchise Fee: $8,000 - Cinnabon Express Bakery: $23,600 - $40,100 - Additional Funds (Up to 3 Months): $39,000 - $48,000 Schlotzsky’s also requires potential franchisees to have a net worth of $1,000,000 and $300,000 minimum in liquid capital. Schlotzsky's requires a franchise fee of $35,500. As a limited time incentive, Schlotzsky’s is offering a franchise fee of $10,000 up until December 20, 2023. The brand also provides a discounted franchise fee of $20,000 to qualifying veterans or members of the Armed Forces. - William Armstrong - Chief Brand Officer - Jim Holthouser - Chief Executive Officer for Focus Brands - Guillermo Cremer — Chief People Officer - Mike Dixon — Chief Financial Officer - Second-Generation Schlotzsky’s ‘Zee Opens Brand’s First New Prototype - Schlotzsky's® Accelerates Franchise Development with Pipeline Nearing 100 Restaurants - Schlotzsky’s Opening in Mission, Texas, on June 30 - How to Start a Schlotzsky's Franchise in 2022 - Schlotzsky's Rolls Out Style and Menu Changes *Disclaimer: This content is for informational purposes only. You should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained on this site constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.* *All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial advice, nor does any information in the email constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.* ## Entities - 1851 Franchise (publication) - Restaurants (sector) - unit expansion (topic) - fast casual (topic) - Subway (company) - franchise costs (topic) - Jersey Mike's (company) - franchise fees (topic) - Jimmy John's (company) - Cinnabon (company) - FOCUS Brands (company) - Schlotzsky's (company) --- Originally reported by 1851 Franchise (https://1851franchise.com/franchise-deep-dive-schlotzskys-franchise-costs-fees-profit-and-data-2723688). Summarized by Burnaze (https://burnaze.com/article/ba77d622-ac72-476c-a5b3-a10e2565c5ac).