Firehouse Subs Franchise Costs, Fees & FDD

Year Business Began: 1994

Franchising Since: 1995

Headquarters: Jacksonville, Florida

Estimated Number of Units: 1,370

Franchise Description: The franchisor is Firehouse of America, LLC. The franchisor is an indirect subsidiary of Restaurant Brands International Limited Partnership. The franchise is for the establishment and operation of a restaurant which offers and serves large-portion hot submarine style sandwiches in a unique fire-fighting atmosphere and decorum at an economical price under the Firehouse Subs trade name and business system.
Training Overview: The franchisor will provide its initial training program to the franchisee, the managing owner, and one additional employee at the franchisee’s cost and expense. The training program lasts for approximately four to six weeks. The initial four to five weeks of training will be conducted at one of the franchisor’s training restaurants or any other restaurant which it may designate from time to time. The final week of classroom training is presently conducted virtually utilizing Firehouse Subs Academy and instructor led training. The franchisor may provide franchisees and their managing owner mandatory periodic refresher training courses as it requires, at the current training fee.

Territory Granted: The franchise is granted for a specific location that first must be approved by the franchisor. The trade area of Firehouse Subs restaurants generally consists of the site and the geographic area within a one-mile radius around the site, although the franchisor may vary its size under special circumstances. As long as franchisees are in compliance with the Franchise Agreement, the franchisor will not grant a franchise for, nor itself operate, Firehouse Subs restaurants that are physically located within the trade area.

Obligations and Restrictions: Franchisees must designate a managing owner who must have the authority to bind the franchisee in dealings with the franchisor and its affiliates and who can direct any action necessary for compliance with the Franchise Agreement or any other agreements relating to the restaurant. The managing owner must be approved by the franchisor and must have at least a 10% legal or beneficial ownership interest in the franchise or the right to receive 10% or more of the operating profits of the restaurant. The managing owner must complete the required initial training program. Franchisees must use the restaurant solely for the operation of a Firehouse Subs restaurant and must keep the restaurant open and in normal operation for the hours and days as the franchisor specifies in its system standards. Franchisees must operate the restaurant in strict conformity with the franchisor’s system standards. Franchisees must offer for sale all products and perform all services that the franchisor requires from time to time for restaurants. Franchisees may not offer for sale any products or perform any services that the franchisor has not authorized.

Term of Agreement and Renewal: The length of the initial franchise term is typically 10 years. One renewal term of 10 years is available, subject to meeting renewal conditions.

Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation.

Estimated Initial Investment

Name of Fee	Low	High
Background Check Fee	$0	$500
Initial Franchise Fee	$20,000	$20,000
Mural	$3,000	$5,000
Travel and Living Expenses during Training	$6,000	$22,000
Market Introduction Fee	$5,000	$5,000
Real Estate	Varies
Real Property Improvements	$0	$20,000
Leasehold Improvements	$200,000	$940,000
Deposits and Prepaid Expenses	$1,500	$15,000
Signs	$7,000	$43,000
Equipment and Fixtures	$112,700	$230,000
Opening Inventory	$10,500	$28,500
Business Licenses	$750	$11,000
Insurance	$500	$900
MIS System Fee	$1,200	$1,200
Accounting and Professional Fees	$500	$5,000
Additional Funds (Working Capital – 3 months)	$10,000	$45,000
ESTIMATED TOTAL	$378,650	$1,392,100

 
Other Fees

Type of Fee	Amount
Royalty	6% of gross sales per accounting period.
MIS System Fees	$1,200 per year.
Digital Technology Fees	$150 per restaurant per month, plus 1% of digital sales.
Delivery Guest Support Services Fee	$0.25 to $0.75 per delivery order on the Firehouse Subs® mobile app or website.
Technology Fees	None currently but may range from $0 to $1.00 per transaction.
System Fund Contribution (Advertising)	Not to exceed 5% of gross sales per accounting period (currently 5%).
Special Co-Op Contribution	None currently but may be up to 4% of gross sales per accounting period.
Additional Training	Currently, $50 per person, per day.
Refresher Training	Currently, $100 per person, per day.
Artwork Costs	No more than $1,000.
Transfer	50% of the then-current initial franchise fee; $1,500 if transfer is among the franchise’s owners.
Renewal	50% of the then-current initial franchise fee.
Audit	Cost of inspection or audit plus travel.
Interest	Lesser of 1.5% per month or highest contract rate of interest allowed by law.
Late Payment Penalties	$250
Third-Party Food Safety and Brand Standards Inspections	Costs for conducting third-party inspections of restaurants for compliance with food safety and brand standards.
Costs and Attorneys’ Fees	Will vary under circumstances.
Indemnification	Will vary under circumstances.
Food Safety Modernization Fee	No more than $100 or less per restaurant per year.
Deferred Renovation Default Royalty	Royalty increases to an agreed-upon percentage of gross sales per accounting period until renovation is complete.

The above information has been compiled from the FDD of Firehouse Subs. Year of FDD: 2025.
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