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NUMBER ONE FRANCHISE *

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*SUBWAY® is the number one QSR brand by total store count (as at January 2014). ©2014 Doctor’s Associate Inc. SUBWAY® is a registered trademark of Doctor’s Associate Inc.

GET ON BOARD

NUMBER ONE

WITH THE WORLD’S

FRANCHISE

*

www.subway.co.uk/business/franchise

www.subway.ie/business/franchise

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MORE THAN 42,000 SUBWAY

®

LOCATIONS

THROUGHOUT THE WORLD

USA and Canada

29,000+ stores

Europe

4,300+ stores

Latin America and

South America

2,900+ stores

Middle East and

South Africa

400+ stores

Asia

1,800+ stores

Australia and

New Zealand

1,600+ stores

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WORLDWIDE BRAND

PERFORMANCE

The first SUBWAY® store was opened in 1965 by Fred DeLuca and Dr Peter Buck. It was the first of over 42,000 locations in more than 105 countries. Today, in the UK and Ireland alone, there are more than 1,800 locations.

The SUBWAY® brand is the Number One Quick Service Restaurant (QSR) brand worldwide by total store count, as at January 2014. The first SUBWAY® store opened in the UK in 1996. Since then the SUBWAY® brand has grown at an exceptional rate and continues to expand – we are actively seeking new franchisees to become part of the success story.

Worldwide franchises growth chart

43,000

*

20

14

38,351

20

12

35,769

20

11

33,749

20

10

32,199

20

09

30,448

20

08

20

13

40,885

*P ro je ct ed g ro w th

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OUR COMMITMENT

The SUBWAY® brand is committed to making a positive impact in everything it does – from providing great tasting food choices, to reducing its carbon footprint and creating a positive influence in the communities it serves around the world:

l We encourage SUBWAY® franchisees to contribute to their communities, promote diversity and environmentally friendly options and business practices

l Focus our sustainability initiatives on energy efficiency, water and resource conservation, waste reduction, sustainable sourcing and supply chain management

l Ensure our food meets the highest quality and safety standards

l Find sustainable and cost effective solutions that service the business needs of our franchisees

The SUBWAY® brand is a nutritional leader in the QSR industry. To date the SUBWAY® brand has endorsed all six of the nutrition-related UK Government’s Responsibility Deal Pledges, committing to:

l Reducing salt

l Reducing saturated fat

l Eliminating trans fats

l Displaying calorie information on menu boards

l Reducing calories across the product range

l Improving access to fruit and vegetables as part of a healthy, balanced diet

For more information about the

SUBWAY® brand’s commitments

visit www.subway.co.uk/aboutus

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CHOOSING AND BUILDING YOUR STORE

It is the franchisee’s responsibility to find the location of the franchise; however SUBWAY® Development Agents and Subway Realty Limited are on hand to help.

The décor of a SUBWAY® store is in-keeping with the brand’s values, ensuring the stores are inviting and comfortable for customers. The décor integrates natural building materials, comfortable furniture and careful lighting to create a warm, inviting, family environment. As a franchisee, you will receive assistance with your store design and equipment ordering.

GREAT PRODUCTS

SUBWAY® Sandwich Artists™ use a variety of breads freshly baked in-store daily, and an array of meats, cheeses, salads, vegetables and sauces to create tasty made-to-order Subs, flatbreads and salads.

With a focus on making quality, delicious Subs and offering customers real choice, the SUBWAY® brand has built up a vast and loyal customer base.

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FOR ALL NEW SUBWAY® FRANCHISEES,

THE COMPANY PROVIDES:

l

Access to formulas and operational systems

l

Store design and equipment ordering guidance

l

Training programme

l

Operations manual

l

Representatives on-site during opening

l

Periodic evaluations and on-going support

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GREAT TRAINING

All new SUBWAY® franchisees are required to attend a two-week training course in Cambridge ahead of opening their own stores. This intensive training programme provides you with an overview of operating a SUBWAY® store and running a business, including classroom and in-store sessions. On completion of the training, franchisees are well-equipped to take the next steps in opening their own store. Similar training programmes are available for SUBWAY® store managers as well.

In addition to face-to-face training, the SUBWAY® brand also runs the University of SUBWAY®, a well-established online training programme coordinated by the worldwide headquarters in Connecticut, USA. Offering over 400 online courses for franchisees and store staff, the University of SUBWAY® has brought on-demand learning to more than one million individuals, and has surpassed 15 million course completions since its launch in 2007.

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SUPPLIERS AND EQUIPMENT

European Independent Purchasing Company Limited (EIPC) is a non-profit making organisation owned by SUBWAY® franchisees in Europe.

EIPC was created by SUBWAY® Regional Development Agents in 2001, to manage the purchasing and supply of food and equipment to SUBWAY® franchisees. To date, EIPC has delivered over £147 million worth of benefit to SUBWAY® franchisees across Europe.

HOW WE MARKET

YOUR STORE

The aim of our marketing campaigns is to drive profitable sales for SUBWAY® franchisees.

SUBWAY® franchisees in the UK and Ireland actively participate in the running of the Franchisee Advertising Fund (FAF). National and regional advertising boards, consisting of franchisees, are elected each year; it is their role to make marketing decisions and ensure franchisee funds are used to benefit all franchisees.

SUBWAY® franchisees pay a 4.5% advertising fee to the Franchisee Advertising Fund.

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ON-GOING SUPPORT

Franchise World Headquarters prides itself on offering an excellent support network for all franchisees. The head office for the SUBWAY® brand in the UK and Ireland is based in Cambridge, offering a local team of support staff focused on operations, R&D, leasing, customer service, training and franchisee services. Across the UK and Ireland we have a network of 20 regional Development Offices that are on hand to offer advice, support and guidance throughout the process of becoming a franchisee. Your local Development Office also provides continued support and mentoring once you have opened a SUBWAY® store.

LOCATION PERFORMANCE

Generally, the most important factors for performance are the location of the franchise and how well it is run. Because these key factors are unknown, SUBWAY® International B.V.† cannot

predict your results.

In fact, to eliminate possible misunderstandings, the company has a policy that no employee or agent can provide you with projections as to potential sales, earnings and profitability.

† SUBWAY® International B.V., the franchisor, is a Netherlands-based limited liability company.

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YOUR INVESTMENT

The SUBWAY® brand has some of the lowest start-up costs in the industry for a franchise of its size and stature. The total amount of investment will depend on the location, size and extent of any renovation work required.

The estimated costs outlined on the right represent a wide range of possible locations. Remember that costs will vary in relation to the physical size of the store. A lower cost store is one that would require fewer leasehold improvements, less seating and fewer equipment expenditures. Higher cost stores may require extensive interior renovations, extensive seating and additional equipment. The figures listed do not include extensive exterior renovations. SUBWAY® franchisees pay 8% royalties to the SUBWAY® brand based on gross sales minus sales tax. A 4.5% advertising fee is paid to the

Franchisee Advertising Fund.

RE-SALES

Another option for those wishing to buy into the SUBWAY® franchise is to buy a re-sale store. On

occasion, there is the opportunity for those inter-ested in buying a franchise to purchase an existing store from a current franchisee. This can often result in lower set-up costs, as the store and all its equip-ment are often included in the purchase price. To find out more about any re-sale opportunities, speak to your local Development Agent.

***These figures are estimates of the complete investment in setting up a SUBWAY® store and operating it for three months. It is possible to exceed costs in any of the areas listed. Final costs will depend on matters including, but not limited to, location, amount of renovations

required, type and size of premises and local laws.

General breakdown for:

Initial franchise fee ...£8,500

Property acquisition fees ...£3,500 - £10,000

Leasehold improvements ...£20,000 - £80,000

(store fit out and service utilities)

Equipment purchase cost ...£30,000 - £70,000 (lease to buy optional)

Security system ...£1,000 - £5,000 (not including monitoring costs)

Freight Charges ...£2,000 - £3,500

Opening inventory...£2,500 - £4,000

Insurance ...£1,000 - £2,000

Supplies ...£500 - £2,000

Training expenses ...£1,500 (including travel and lodging)

Legal and accounting ...£2,500 - £5,000

Opening advertisement ...£500 - £3,000

Misc expenses ...£2,500 - £4,000 (business license, utility deposit,

small equipment and surplus capital)

Additional funds

– three months ...£10,000 - £25,000 (wages, training and rent)

Estimated

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NEXT STEPS

Apply:

Simply complete the application form included in this brochure or online at www.subway.com/apply

There is no obligation by completing the application form, it simply indicates your degree of interest and enables us to send you our disclosure document that includes more information about the franchisor.

Development Office:

Once your application has been submitted, you will be contacted by your local Development Office. Be sure to make the most of their skills, experience and knowledge because many Development Agents are franchisees themselves. SUBWAY® Development Agents work to build franchise sales by building the SUBWAY® internationally

recognised brand. A Development Agent is an independent contractor who sees the ‘big picture’. The Development Agent develops a territory by helping franchisees own and operate SUBWAY® stores in that territory.

Research:

: The SUBWAY® brand encourages you to talk to other franchise owners to learn more about the brand and benefits. Ask them why they chose the SUBWAY® franchise and spend time in stores to familiarise yourself with the store operation and managing a team of staff.

Talking to other franchise owners can really help you understand more about the franchise, alongside the day-to-day operations, as well as speaking to customers about what they most like about SUBWAY® Subs. A list of contact details for current franchisees is available in the disclosure document, which will be sent to you when we receive your completed application form.

JOIN THE TEAM!

It’s as easy as that!

Once you have finished your investigation and have secured approval to become a SUBWAY® franchisee, don’t wait. There is a world of opportunity waiting for you once you make your decision to join us.

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PHILIP TOUT

SUBWAY® Franchisee

Philip Tout owns and operates four Budgens convenience stores across the South West.

Philip opened his first SUBWAY® store, as part of a re-fit of his store in Cheddar, Somerset. Following its early success, Philip opened a second SUBWAY® store in his Budgens in Nailsea, Somerset.

“We have been delighted with the way that the SUBWAY® brand has complemented our existing c-store business in Cheddar and Nailsea, and are enjoying that it is attracting new customers into the stores. We have tried other food-to-go offerings in the past within our c-stores, but have found that SUBWAY® stores provide the best option for customers wanting food and snacks made fresh in front of them.

“We’re looking forward to developing our relationship with the SUBWAY® brand further.”

The SUBWAY® brand has complemented our existing c-store

business... it is attracting new customers into the stores.

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RAAJ TUTT

SUBWAY® Franchisee

Raaj Tutt owns and operates a SUBWAY® store at Crystal Peaks Shopping Centre in Sheffield. Raaj now employs nine full-time and two part-time members of staff.

“Running my own business had always been an ambition of mine and I was keen to get started in a secure environment, which is why I chose franchising. I moved from a marketing background into the catering industry, which was a huge diversion within my career path.

“Taking on the management of 11 staff and having the extra responsibility of being in charge of my own business was always going to be a challenge – but I knew I was up to the task. At the beginning, I found myself working long hours, however the rewards and satisfaction gained from it were well worth it!”

I moved from a marketing background into the catering industry,

which was a huge diversion within my career path.

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I’ve always been an advocate for healthy eating and the SUBWAY®

brand has great credentials in this area.

RACHEL SHAW

SUBWAY® Franchisee

Rachel Shaw owns and operates two SUBWAY® stores in Thornton Heath and West Wickham, South London. With a wealth of experience working in the fast food industry, Rachel decided to open her first SUBWAY® store and hasn’t looked back since.

“I knew I had a good understanding of quick service restaurants, having worked in the sector for 16 years. I love the product and the fact that the operation is very transparent. It’s clear to customers that the SUBWAY® brand operates at a very high standard.

“I was intrigued by the brand after a trip to Australia in 2004 for a work conference – the SUBWAY® brand was everywhere down under! I was particularly interested in this franchise as I’ve always been an advocate for healthy eating and it has great credentials in this area.”

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RACHANA PANCHOLI

SUBWAY® Development Agent and Franchisee

Rachana Pancholi owns five franchises and is responsible for the SUBWAY® brand development in Derbyshire and South Yorkshire. Rachana has previously won SUBWAY® franchisee of the year twice in a row and is a busy working mother.

“At the SUBWAY® brand you are given a lot of training and support as you set up your franchise, and afterwards on an ongoing basis. As a

Development Agent for Derbyshire and South Yorkshire I have become part of that support system, working with franchisees to ensure they are getting the most out of their business.

“The high quality of training given to all new franchisees and the continued support from field consultants, development agents and access to online training resources and the University of SUBWAY® all contribute to the SUBWAY® brand being a world-leader when it comes to franchising.”

At the SUBWAY® brand you are given a lot of training and support

to set up your franchise, and afterwards on an on-going basis.

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TESH PATEL

SUBWAY® Development Agent and Franchisee

Tesh Patel comes from a retail background. Along with his two brothers, Tesh became a franchisee with the SUBWAY® brand in 2000, and in May 2004 became a Development Agent. Tesh is now responsible for the brand’s growth in line with consumer demand across much of the Thames Valley and East Midlands regions.

“The SUBWAY® brand has developed a franchise system which is both efficient and effective. We work tirelessly to ensure that the transition for our franchisees is as easy as possible and that they head into their new ventures with confidence and the knowledge that they have a global brand backing them.

“The SUBWAY® brand has built up the support and loyalty of millions of customers worldwide by offering great value products and a recognised health platform. New franchisees can rely on the fact that demand for our wide range of great value Subs and salads, including a Low Fat Range, is unwavering.”

New franchisees can rely on the fact that demand for our wide

range of great value Subs and salads... is unwavering.

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SUBMIT YOUR COMPLETED APPLICATION

FORM IN ONE OF TWO CONVENIENT WAYS:

Online:

www.subway.com/apply

By mail:

Subway Realty Ltd., Chaston House

Mill Court, Hinton Way, Great Shelford

Cambridgeshire, CB22 5LD, UK

Subway Realty Ltd – UK & Ireland Head Office

Chaston House | Mill Court | Hinton Way | Great Shelford | Cambridgeshire | CB22 5LD

Tel

(UK)

0800 0855058

| Tel

(Republic of Ireland)

1-800-413-076

Email: franchiseopportunities@subway.co.uk

www.subway.co.uk/business/franchise

www.subway.ie/business/franchise

(18)

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