Worth It?HistoryDatabaseCompareDistress SignalsFDD Changes
QSRNo Item 19Item 19: ✗ Not DisclosedQuality: 85/100

Subway

Based on 2025 FDD · 3 filings in corpus

FranchiseIQ Score
46
D
High Risk
Composite score based on SBA default rate, unit growth, disclosure quality & investment efficiency.
Total Investment Range$263K – $630K
MinMid: $447KMax

Key Metrics

Franchise Fee
$15K
Royalty Rate
8%
Ad Fund Rate
4.5%
Total Burden
12.5%
Royalty + ad fund
Units (2023)
20,133
-631 vs prior yr
Net Unit Growth
↓ -3.1%
Year over year

Financial Analysis

Cash-on-Cash Return
—
Annual estimated return
Payback Period
—
Break-even timeline
SBA Default Rate
8.1%
vs ~7.2% industry avg
Median Revenue
—
Item 19 disclosed

Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.

Subway vs. QSR Average

MetricSubwayQSR Avg
SBA Default Rate8.1%▲9.4%
Cash-on-Cash Return—14.2%
Total Investment$447K$380K

Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.

Compare

Subway vs Chick-fil-A, Inc.Subway vs Loving CupSubway vs Donut King

Similar Franchises · QSR

Chick-fil-A, Inc.
Revenue Only
$427K–$2.3M
Loving Cup
No Item 19
$166K–$242K
Donut King
Limited Data
$211K–$332K
Chick-fil-A, Inc.
$427K – $2.3M
Loving Cup
$166K – $242K
Donut King
$211K – $332K
Crust Gourmet Pizza Bar
$210K – $264K

Questions to Ask Before You Sign

5 data-driven questions every Subway franchise buyer should ask.

  1. 1.What is Subway's SBA default rate compared to its competitors?Learn more →
  2. 2.Does Subway disclose Item 19 financial performance representations?Learn more →
  3. 3.What is the net unit growth trend over the past 3 years?Learn more →
  4. 4.What is the franchisee termination and transfer rate per Item 20?Learn more →
  5. 5.What do the FDD litigation disclosures (Item 3) reveal about franchisor legal history?Learn more →
Generate attorney questions for Subway →Validation call guide →

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Data sourced from publicly filed Franchise Disclosure Documents (FDDs) submitted to state franchise regulators. SBA loan data from public SBA 7(a) records. Information reflects the most recent FDD filing in our database and may not reflect current terms. Always verify with the franchisor's current FDD before making any investment decision. Not legal or financial advice.