About Subway
Subway is the world's largest fast-food chain by location count, with over 37,000 restaurants in more than 100 countries. Founded in 1965 by Fred DeLuca, Subway pioneered the made-to-order sandwich model and has been franchising since its earliest days. The brand underwent significant transformation following its 2023 acquisition by Roark Capital.
Subway offers one of the most accessible entry points into franchising, with a lower initial investment than most major QSR brands. However, the brand has faced challenges with location saturation and increased competition. Under new ownership, Subway has been closing underperforming locations and modernizing its menu and store design to compete with newer fast-casual concepts.
Frequently Asked Questions
How much does a Subway franchise cost?
The initial franchise fee is $15,000 for a standard location. Total investment ranges from $229,000 to $522,000 depending on location type and size.
What are Subway's ongoing fees?
Subway charges an 8% royalty fee plus a 4.5% marketing fund contribution, for a total of 12.5% of gross sales — one of the highest combined rates in QSR.
Is Subway a good franchise to own in 2026?
Subway is improving under new Roark Capital ownership with a modernization initiative. However, prospective franchisees should carefully analyze local market conditions given historical challenges with over-saturation.
How many Subway locations are there?
Subway has approximately 37,000 locations worldwide, making it the largest fast-food chain by unit count, though it has been reducing its footprint from a peak of over 44,000.
What net worth do I need to open a Subway?
Subway requires a minimum net worth of $80,000 to $310,000 and liquid assets of at least $40,000–$90,000 depending on the market.