FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for Sub Station II using its latest 2026 FDD coverage.
Based on 2026 FDD · 4 filings in corpus · Latest FDD: 2026
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a Sub Station II franchise shows an estimated initial investment of $318K – $926K. Reported owner economics show $74K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $20K franchise fee · 7% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
Sub Station II requires a total initial investment of $318K to $926K (midpoint approximately $622K), with an initial franchise fee of $20K. The ongoing fee burden is 7% (5% royalty plus 2% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.
According to Item 19 of the 2026 FDD, the median revenue for Sub Station II locations is $572K. The implied franchisee EBITDA is approximately $74K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 12.0% with a payback period of approximately 8.4 years.
Sub Station II operates approximately 34 franchised units. However, the brand has been contracting with a 8.3% net unit decline, which may signal franchisee dissatisfaction, territory saturation, or competitive pressure.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2026 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Common questions buyers ask about Sub Station II, answered from FDD and SBA data.
The total initial investment for a Sub Station II franchise ranges from $318K to $926K, according to their Franchise Disclosure Document.
Sub Station II charges a 5% royalty fee on gross sales.
The initial franchise fee for Sub Station II is $20,000.
There are approximately 34 Sub Station II franchise locations as of 2023.
The median revenue for a Sub Station II franchise is $572K, with a cash-on-cash return of 12.0%, according to FDD Item 19 data.
SBA loan default rate data for Sub Station II is not currently available in the SBA database.
Whether a Sub Station II franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.
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