Burger Franchise vs Sub Franchise: Everything You Need to Know

Are you interested in learning the differences between owning a burger franchise vs submarine sandwich franchise?

At Jack in the Box, we understand you have a lot of choices to make when it comes to finding the best franchise opportunity for you.

In this article, we’ll take a look at three key differences between a burger restaurant and sub restaurant when it comes to franchising.

What Is a Burger Franchise?

A burger franchise is typically defined as a restaurant that primarily focuses their menu on the segment of beef or hamburgers.

Some of the most popular burger franchises in the United States are:

• Jack in the Box
• McDonald’s
• Burger King
• Wendy’s
• Whataburger
• Freddy's
• Culver's

These brands have a history of serving a wide variety of burgers along with fries, onion rings, or side salads. Plus, desserts like cookies and milkshakes.

Burger franchises are some of the most popular restaurants in the United States and have been expanding into international markets.

What Is a Sub Franchise?

Next up, a sub franchise is commonly known as a restaurant that primarily focuses their menu on the submarine sandwich segment.

A few of the most popular sub sandwich franchises in the United States are:

• Subway
• Firehouse Subs
• Jimmy John’s
• Larry’s Giant Subs
• Quizno’s
• Jersey Mike’s
• Lenny’s
• Blimpie
• Capriotti’s
• Togo’s
• Charleys Cheesesteaks
• Penn Station
• Arby’s
• McAlister’s Deli
• Honeybaked Ham
• Schlotsky’s
• Potbelly Sandwich Works
• Primo Hoagies
• Cheba Hut Toasted Subs
• Which Wich

These brands are well known for serving sub sandwiches with a wide range of toppings. Plus, a selection of chips, salads, and desserts guests can choose from.

You shouldn’t have trouble finding a sub franchise regardless of where you live or visit. Subway has over 37,000 locations in more than 100 countries and territories!

Menu Variety

Most sub franchises have a fairly complex menu with a wide variety of toppings and combinations for customers to add and remove as needed.

Orders are typically taken on an app, over the phone, or in-person. And most sub franchises offer add-ons like chips, salads, and cookies or some other type of dessert.

Burger franchises will typically have a simple menu with burgers, fries, and drinks along with other items like chicken nuggets, salads, and desserts.

At Jack in the Box, we consider ourselves to be much more than a burger joint. Our innovative 24/7 menu offers five dayparts – breakfast, lunch, dinner, snacking, and late night.

Plus, we have something for everyone on our menu with options like burgers, chicken, tacos, salads, egg rolls, wraps, and we serve breakfast all day long.

Real Estate & Site Requirements

Most burger and sub franchises offer flexible prototypes that can fit in a wide variety of traditional and non-traditional venues like c-stores, airports, and college campuses.

However, when it comes to Jack in the Box, we require all of our restaurants to have a drive-thru lane. This is why we prefer free-standing locations or end caps.

The majority of sub franchises do not require a drive-thru lane. This gives you the option to build an inline location inside a shopping center.

Financial Requirements

The total initial investment cost for a burger or sub franchise can range anywhere between a few hundred thousand to over two million dollars.

You can learn more about the estimated initial investment for each brand by referencing Item 7 in their most recent Franchise Disclosure Document.

As a franchisee, you’ll also be responsible for paying ongoing fees. These fees will vary depending on the brand you decide to do business with.

For example, Jack in the Box has three minimum financial requirements all our potential franchisees must meet.

• Minimum Liquidity: $500,000
• Minimum Net Worth: $1.5MM
• Franchise Fee: $50k per Location

As a franchisee, you’ll also be responsible for paying the ongoing royalty fees below…

• 5% Royalty of Gross Sales
• 5% Marketing Fee of Gross Sales

These royalties ensure you have the best possible resources to run your burger business and bring customers to your location.

Check Out These Additional Resources

We hope this article gave you a better understanding of the differences between owning a burger franchise vs sub franchise.

At Jack in the Box, we’re looking for multi-unit franchisees who are excited to bring our craveable 24/7 menu to new markets across the country.

Here are some additional online resources you may like to check out:

• How Much Does a Jack in the Box Franchise Cost?
• 3 Reasons to Buy a Drive-Thru Restaurant Franchise
• Which Burger Franchise Makes the Most Money?

If you have any questions, please contact our franchise sales and support team.