Subway not only offers good food options but also is a great option if you wish to start an outlet of yours. With over 500 franchise stores in India, Subway aims at taking this number to above 2,000. So if you are thinking of an opportunity that is profitable and that associates you with one of the biggest retail food outlet chains, Subway can be your choice.
Subway is categorized under Quick Service Restaurants. In India, considering the religious beliefs of people, Subway has prohibited the use of beef and pork in non-veg category. There are Indian variants of Subway like Paneer Tikka and Veggie Patty that make it popular among the vegetarians as well. Overall, it seems to be a profitable business venture to own a franchise of Subway since you don’t have to run for sales, rather the brand value brings business to you. The unique selling point of Subway apparently is its quality. So, if you are thinking of making an investment, consider Subway as an option.
Investment required for Subway Franchise
You need to set aside a sum of 60 to 95 lacs if you wish to own a retail outlet of Subway. The option to ‘own a franchise’ is available on the website of Subway. And you can access it through the URL www.subway.com/en-in/ownafranchise. There’s no official announcement of how much you need to have in your pocket to start a Subway restaurant, as it could be a variable for different locations. The franchise fee is about 4.5 lacs and around 3-8% of net sales is charged as royalty and advertising fee. The space and setting up of infrastructure will be the additional cost you will have to pay. As per the company’s recommendation, at a retail outlet, about 170 Sq. Ft area should be dedicated to the food court and 350 Sq Ft for non-food court space. The workforce should be of 8 professionals.
Operating Cost of a Subway Franchise
On average, the operational cost would range between 1 to 1.25 lac a month. It’s obvious you can increase or decrease your expenses but the company’s standards of quality should not suffer.
Although the regional sales department or franchise providers will be able to explain this point well, it is believed that breakeven is achieved at the rate of 40% per year. You can contact the franchise department directly at
Subway Systems India Pvt. Ltd.
B 11/1, Okhla Industrial Area, Phase II
New Delhi -110020
Telephone: 011 41754035, 011 41708082.
Steps to your new fast food retail store
If you wish to own a franchise, you must visit the official website and register an interest. Thereafter you will be approached by the representatives who will clear your doubts and ensure that you understand the obligations before stepping ahead. Once you understand the terms and conditions, you can submit the form the company offers for franchise process. If you are eligible and the criterion is served, they will initiate the next steps.
All the best for your new fast food restaurant.