How Franchising Works (Subway Example)

Zero to Profitable Franchise Podcast

You’ve probably walked into a Subway or Taco Bell and thought, “Who owns this place?” Or maybe you’ve wondered how franchise owners actually make money and how much it really costs to open one.
In this video, I break down how a franchise business actually works using Subway as the example. I’ll show you exactly what franchising is, how the relationship between franchisors and franchisees works, what the real startup costs look like (spoiler: it’s way more than just the franchise fee), and how franchisees make serious income.
If you’re thinking about buying a franchise, this video will give you the blueprint most people never see.
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The data presented here is sourced from the latest Franchise Disclosure Document (FDD) available for each franchise. Please consult Item 19 of the most recent FDD for further details. It's important to note that this information could have been updated since its initial publication. We strongly advise you to confirm all fees, investment requirements, and specific franchise offers directly with the franchisor before making any investment decisions.
The content on this website is solely for informational purposes and should not be interpreted as a bid to sell or an invitation to purchase a franchise. Only a Franchise Disclosure Document (FDD), duly registered in the relevant state, can officially propose a franchise.
This site and its contents do not amount to an offer of a franchise in any jurisdiction or state where such proposals or solicitations are legally restricted. Franchise offers are only valid when presented with a FDD that adheres to the necessary legal requirements.
Additionally, the franchise opportunities mentioned here are limited to specific states and countries.
It is strongly recommended that potential franchisees thoroughly examine the FDD and seek advice from legal and financial professionals before deciding on a franchise investment. The decision to invest in a franchise must be based on a comprehensive evaluation of all pertinent information and considerations.