Firehouse Subs Franchise Failure Rate, Profit & Owner Salary 2024

Are you thinking about investing in the Firehouse Subs franchise but are not sure if it’s worth it or not? We got you!

In this guide on how much a Firehouse Subs Franchise owner make, we have broken down the profitability data, investment, qualification requirements, and many other details that you must know about this franchise.

So let’s begin!

How Much Does A Firehouse Subs Franchise Owner Make

About Firehouse Subs

Firehouse Subs is a popular fast-food casual restaurant chain in America that was founded in 1994 in Jacksonville, Florida, by brothers Chris Sorensen and Robin Sorensen.

The Sorensen brothers served as firefighters before they quit their jobs to start their own business with just $100 in their pockets.

Before starting Firehouse Subs, the duo made a few attempts at other businesses too, but were destined to get success in the sandwich chain.

Today, there are more than 1,200 outlets of Firehouse Subs, and the restaurant is known for serving its large-portion hot submarine-style sandwiches in a unique fire-fighting-themed atmosphere.

To give out their franchise, Firehouse Subs do not require any prior experience in retail management or any other field, as they offer the required training in-house.

However, they seek candidates who have the potential to manage the responsibility of the restaurant.

Having said that, there are some restrictions that they impose so that you maintain the dignity of your business and exert your best efforts.

Lastly, they provide veteran discounts on franchise fees to eligible candidates, but besides this, no other discounts and other direct or indirect financing options are available.

Now that you know the basic requirements and details of Firehouse Subs, let us dig further and learn more about this franchise opportunity.

How Much Does A Firehouse Subs Franchise Owner Can Make?

The amount of money that a Firehouse Subs franchise owner can make depends on a number of factors, such as their location, the restaurant’s size, the capability of the franchise owner, etc.

However, according to Glassdoor, the estimated total pay of the Firehouse Subs franchise owner is $113,695 per year. This value is based on the reviews collected by Glassdoor.

And also, the estimated base pay for the Firehouse Subs franchise owner is $68,115 per year.

On top of this, the franchise owner can also make additional money of up to $45,579 per year. Additional money consists of commission, tips, profit sharing, and bonuses.

Interested In Firehouse Subs Franchise?


Firehouse Subs Franchise Requirement

Here’s a breakdown of all the costs, fees, and other investment amounts that you need in order to start a Firehouse Subs Franchise.

Cost Or FeesAmount
Initial single-unit franchisee fee$20,000
Minimum liquid cash $100,000
Maximum liquid cash$150,000
Initial Investment $189,574 – $1,065,350
Royalty fees6% of sales
Advertising fees3% – 5% of sales
Net Worth Requirement $350,000
Term of Agreement 10 years
Average total cost for opening a traditional Firehouse Subs franchise $412,731


Firehouse Subs Franchise Average Revenue & Profit

We know that a Firehouse Subs franchise owner makes $891,042 in revenue annually.

So, if we consider a profit margin of 15% as per the industry standard, then we can find that a Firehouse Subs franchise owner makes $133,656 in net profit on average. 

Here’s how we calculated this amount:

Financial OverviewPercentage of RevenueAmount ($)
Individual Franchise Annual Revenue100%891042.00
Franchise Royalty Fees5.31%(47336.61)
Cost of Goods Sold (COGS)26.56%(236683.03)
Labor (Variable)13.81%(123075.18)
Total (Expenses)85.00%(757385.70)
Net Profit15.00%133656.30

Note: The displayed expenses are estimates based on industry averages and standard costs. Actual expenses may vary due to factors like location, business size, and market conditions. We recommend conducting detailed research or consulting with a financial advisor for a tailored financial analysis.

Firehouse Subs Franchise Failure Rate

Here is the breakdown of the number of Firehouse Subs franchise units that opened and closed during 2018-2020.

Franchised Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change

For the Franchised outlets:

  • In 2018, the growth rate was (42)/1,051×100≈3.99%
  • In 2019, the growth rate was (22)/1,093×100≈2.01%
  • In 2020, the failure rate was (1)/1,115×100≈0.09%

Company-Owned Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change

For the Company-Owned outlets:

  • In 2018, the failure rate was (0)/37×100≈0.00%
  • In 2019, the growth rate was (1)/37×100≈2.70%
  • In 2020, the failure rate was (0)/38×100≈0.00%

Total Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change

For Total outlets:

  • In 2018, the growth rate was (42)/1,088×100≈3.8%
  • In 2019, the growth rate was (23)/1,130×100≈2.03%
  • In 2020, the failure rate was (1)/1,153×100≈0.09%

According to the above-mentioned data, Firehouse Subs franchise failure rate is very low, and over the last three years, this franchise has been growing at an average of 21 franchises a year.

We can see that the franchised outlets for Firehouse Subs grew from 2018 to 2019, showing a growth rate between 3.99% and 2.01%. The company also declined in 2020, showing a failure rate of 0.09%.

On the other hand, for company-owned outlets, the failure rate of Firehouse Subs was 0.00% in 2018 and 2020. In 2019, the company experienced growth, showing a growth rate of 2.70%.

Overall, when we combine the data of franchise and company-owned outlets, we can see that the Firehouse Subs franchise has expanded in the years 2018-2019 showing a total growth rate between 3.8% and2.03%. But then again it started to decline in 2020, showing a failure rate of 0.09%.


Firehouse Subs Franchise Payback Period

To calculate the payback period, we need to divide the total investment by the annual profit:

Payback Period = Investment / Yearly Profit = $647,000 / $133,656 = 4.8 years

The payback period for the investment is approximately 5 years. This means it will take around 5 years to recoup the initial investment with the given annual profit. However, this time period could be longer or shorter depending on your sales, revenue, and profit figures.

Firehouse Subs Franchise Earning Potential

The earning potential of the Firehouse Subs franchise is quite good, owing to its popularity and lip-smacking taste.

As per the data collected by Glassdoor from a number of users, it is estimated that a Firehouse Subs franchise owner has the potential to make up to $192K annually.

This is the highest possible range that one can reach as the franchise owner of Firehouse Subs.

Also, how much a Firehouse Subs franchise owner can earn also depends on how much effort and skills he/she can put in, along with other factors such as the restaurant’s size, location, and other things.

Overall, as per the data shared above we can conclude that the Firehouse Subs franchise has a good earning potential. ((,30.htm))

How Much Does Firehouse Subs Employee Earn?

How Much Does Firehouse Subs Employee Earn

In 2023, according to ZipRecruiter, the average annual pay for a Firehouse Subs employee in the United States is $48,389 a year. 

If we break this down, it comes out to be $23.26 an hour or $930/week, or $4,032/month.

To narrow it down even further, a Firehouse Subs employee at the lowest position makes $16,000 a year, while the one at the highest position makes $153,500 a year.

Currently, the majority of Firehouse Sub employees make between $26,000-$45,500, with top earners having a salary of $97,500 annually. ((

Pros & Cons Of Firehouse Franchise

Pros Of Firehouse Franchise

  • Provides marketing and advertising support.
  • They allow you to own more than one restaurant business or unit.
  • Has a well-established presence.
  • Unique brand.
  • High Franchisee satisfaction rate.
  • Active in donations and other charitable causes.
  • Offers territory protection.
  • Their space requirement is only 1,600 to 2,000 square feet, so it requires less real estate costs.

Cons Of Firehouse Franchise

  • The person responsible for operating the restaurant needs to reside at a close distance.
  • Long opening process (can take up to 18 months).
  • The franchisor does not offer financing support.
  • Low global presence.

Facts About Firehouse Subs Franchise

Facts About Firehouse Subs Franchise
  • The owners of Firehouse Subs, Chris and Robin Sorensen, started their business with just $100 in their pockets.
  • All Firehouse Subs restaurants have a Fireman theme & the restaurant was founded by actual firefighters.
  • Each firefighter-themed murals you find in Firehouse Subs restaurant is unique and is a homage to the firehouse in the local community.
  • Firehouse Subs is known for its active involvement in donations and charity, and the hurricane Katrina disaster in 2005 inspired them to do this.
  • Firehouse Subs has a ranking system for their sandwich sauces on a scale of one to ten and host the hot sauce challenge every once in a while.
  • For the majority of the ingredients at Firehouse Subs, the owners have picked the distributors themselves for providing the best quality.
  • Firehouse Subs established the Firehouse Subs Public Safety Foundation and have raised millions to support their local communities.
  • Firehouse Subs source its hot sauces, but Captain Sorensen’s Datil Pepper Hot Sauce is the only sauce that is unique to them and is found nowhere in the world.
  • The Sorensens are obsessed with mayonnaise, and all their sandwiches come loaded with it.
  • The Sorensens are also ranchers and have a 9,000-acre ranch in Cascade, Montana.



Firehouse Subs Franchise Statistics

  • According to Zippia, Firehouse Subs has a total of 2,000 employees working for them.
  • According to DMR, as compared to last year, the Firehouse Subs sales surged by more than 25%.
  • According to Zippia54% of Firehouse Subs employees are women, and 46% of employees are men.

What Are Firehouse Subs Best Known For?

With premium cooked meats, hot sauces, loads of mayonnaise, and lip-smacking flavors, Firehouse Subs is best known for its delicious sandwiches and subs.

What sets their taste apart from their competitors is that they steam their meats and cheeses, which ensures even cooking and keep the customers coming in.

Apart from their taste, another interesting thing about Firehouse Subs is that all their restaurants are firemen themed and have murals all over their restaurant walls.

With more than 1200 locations, Firehouse Subs is the most accessible fast food brand that you can find.

While talking about what Firehouse Sub is best known for, how can we not mention some of the best items that you ought to taste on their menu, including:

  • Smokehouse Beef & Cheddar Brisket Subs.
  • Spicy Cajun Chicken Subs.
  • Club on a Subs.
  • Hook & Ladder.
  • Engineer.
  • Loaded Potato Soup.
  • Italian Subs.
  • Sweet & Spicy Meatball Subs.

Wrap Up

In this guide, we saw a complete breakdown of the Firehouse Subs franchise, and after considering each and every point, this is what we conclude:

In terms of profit, the Firehouse Subs franchise has a good profit-earning potential and is enough to raise your standard of living.

As far as the selection process is concerned, it is not rigorous, but there are some requirements that you must meet and some rules that you must follow in order to get this franchise.

And if we talk about Firehouse Subs’ taste and popularity, it is undoubtedly good, but a lack of global presence is something to take note of.

Overall, if you are looking for a sustainable and profitable franchise opportunity to raise your standard of living to a good extent, then you can go for this franchise.

Frequently Asked Questions

How much royalty fee does Firehouse Subs charge?

Firehouse Subs charge a royalty fee of 6%, which is between the higher end of the industry standard bracket of 4%-8%.

How long does it take to open Firehouse Subs franchise?

From the first inquiry onwards till the time you open your restaurant business, the process can take about six to eighteen months.

What is the intial franchise fee of Firehouse Subs?

The initial single-unit franchisee fee of Firehouse Subs is $20,000.

How Many Firehouse Subs Locations Are There?

In 2023, there were over 1,210 Firehouse Subs locations operating in the United States, Puerto Rico, and Canada.

Who Owns Firehouse Subs?

Firehouse Subs is currently owned by Restaurant Brands International, a fast food holding company that also owns Burger King, Popeyes, and Tim Hortons.

Who founded Firehouse Subs?

Firehouse Subs is an American restaurant chain. It was founded in 1994 by former firefighter brothers Chris and Robin Sorensen.

Where is Firehouse Subs headquartered?

Firehouse Subs is headquartered at 12735 Gran Bay Parkway, Jacksonville, Florida.

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