Jersey Mike's Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$18,500
Investment required
$214,000 - $1,353,000
Royalty fee
6.50%

Jersey Mike's Subs: Leading the Way in Quality Sandwich Craftsmanship

Jersey Mike's Subs, a prominent name in the submarine sandwich franchise industry, began its journey in 1956 and started franchising in 1987. Headquartered in Manasquan, New Jersey, the franchise has grown significantly, establishing a strong foothold in the fast-food sector.

Known for its dedication to quality, Jersey Mike's offers customers freshly made submarine sandwiches, along with a variety of other sandwiches, food items, and beverages, creating a distinctive dining experience in a competitive market. The core of the Jersey Mike's franchise opportunity is its simple business model, which focuses on delivering high-quality sub sandwiches made with fresh ingredients, prepared right in front of the customer, and served with genuine enthusiasm.

This customer-focused approach is further enhanced by the brand's commitment to community service, building strong connections with the areas it serves. Jersey Mike's also provides a balanced lifestyle for its franchisees, allowing them to support local causes while enjoying a fulfilling family life outside of the business.

Jersey Mike's Subs sets itself apart with its unique "Mike's Way" of preparing sandwiches using onions, lettuce, tomatoes, oil, vinegar, and spices. The company's emphasis on giving back and making a difference in people's lives is a key part of its mission. This philosophy not only boosts customer loyalty but also strengthens the franchise's ties to the community.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Franchise Fee $18,500
Real Estate and Construction Fee $5,000
Rent/Lease CAM/Taxes/Lease and Utility Security Deposits $0 – $67,709
Architectural Fees $2,389 – $28,796
Leasehold Improvements $110,000 – $762,064
Equipment/Furniture/Small Wares $28,961 – $152,550
Initial Inventory $4,200 – $27,465
Insurance $1,000 – $13,829
Training $2,000 – $86,400
Grand Opening Advertising $12,500
Exterior Signage $2,370 – $53,100
Interior Branding/Graphics $3,074 – $14,684
Uniforms, Office Equipment and Supplies, TVs/Stereo System/Security System $3,258 – $38,531
POS System $2,085 – $17,452
POS System Connection to Private Network $3,000
Professional fees (lawyer, accountant, etc.) $800 – $18,000
Business Licenses and Permits $312 – $18,000
Additional Funds for 3 months $15,000
Total $214,449 – $1,352,580

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Number of units

2023
Franchised units

1,681

1,942

2,226

Company-owned units

61

31

24

Total units

1,742

1,973

2,250

Franchise Disclosure Document

Training 

Jersey Mike's offers a comprehensive training program designed to equip franchisees with the necessary skills and knowledge for successful operation.

This training is structured into three phases, requiring the participation and successful completion by the franchisee's Controlling Principal or designated manager, assistant manager, and shift supervisor before the restaurant opens.

The initial training includes both classroom instruction and hands-on, in-store training, covering all essential aspects of running a Jersey Mike's Restaurant.

Franchisees are responsible for all costs associated with attending the training program, including travel, accommodation, and meals for themselves and their employees.

Territory Protection

Franchisees are authorized to operate a Jersey Mike's Restaurant at a specific location referred to as the "Designated Area," as outlined in the Franchise Agreement. The boundaries of this area are determined by factors such as zip code boundaries, county lines, highways, physical landforms, city or municipality limits, and other relevant considerations by the company.

However, franchisees do not receive territorial protection within their Designated Area. Additionally, the company's approval of a restaurant site is based on current factors, including site demographics, proximity to other businesses, neighborhood characteristics, and other criteria that may evolve over time.

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