Subway has more stores than Mcdonalds

Discussion in 'Wall St. News' started by ChkitOut, Mar 8, 2011.

  1. subway makes a great VEGGIE sub but you must INSTRUCT the counter girl/guy to load it up saying "uhh a lot of spinach please. uhh a lot of sweet peppers please. uhh a lot of tomatoes please." pick ONE veggie at a time (they put more on that way) but pick them ALL eventually! my subs are so chock full of veggies can't even get a wrapper around it. best healthiest sub around :D

    oh, don't pick the whole wheat bun it's always hard and 'stale' (don't think they sell too many of them lol) . pick one of others like oatmeal etc

    Great subs, best around if you know how to make them make it right :cool:
     
    #11     Mar 9, 2011
  2. haha, 45g of fat is ~400 calories alone. The rest is helium!
     
    #12     Mar 9, 2011
  3. BwPirt

    BwPirt

    I think they have a smart business plan in the small town market. You'll see a subway in a "one horse" town years before you'll see a McDonalds in most cases.
     
    #13     Mar 9, 2011
  4. Messi007

    Messi007 Guest

    Hi all.

    I found this in www.thefranchisehound.com.

    (this from UK and in british pounds).


    in the UK
    We have 83-90% of all sales are VATable, leaves.
    Royalty at 12.5-13.5% (depending on location in UK)
    Food costs are now 30-33%
    Vat on sales account's for about 17.5% of all sales (average 85%of sales hot or eat in HMRC investigation 2009 BTW Subway lost the appeal)
    Labour costs around 22-28% (excludes holiday and sick entitlement)
    Breakdown:
    30-33 % Food Gross Sales
    24% Labour Gross Sales
    17.5 % to HMRC Grosss Sales
    12.5 % to Subway Gross Sales

    £400- £600 a month utilities
    High Street Rent average £1700 PCM (waste disposal, accountancy, insurance, repairs wear and tear e.t.c)

    Oh and the average Subway store sales are around £5500.00

    Here's the breakup:
    --------------------------------------------------------
    Royality + marketing = 12.5 % of gross sale
    Food Cost = 28 to 31 % of gross sale
    So the average 40 % of gross sale is gone for above too.
    Rest 60 % of gross sale is spent on :
    Rent, Electricity, insurance, garbage, telephone , accounting,employee's salary, misc).
    ------------------------------------------------------------------------------------------------
    Here's the example:
    If you have Subway of $1000 (365k yearly) as an average sale per day, Here's the breakup:
    40% of 365k for Royality and food : 146,000
    4000 average rent for 12 months : 48,000
    Electricity, insurance average for 12 months(1400*12) = 16,800
    Garbage, telephone , accounting misc for 12 months(500*12) = 6000
    Employee's salary for 12 months ( 5000*12) = 60,000
    Sale Tax(NY) 8.5% on gross sale = 29,200
    Net profit before tax = 59000 pounds
    (365000- (146,000+48,000+16,800+6000+60,000+29,200)
    --------------------------------------------------------------------------------------
    Your profit can increase or decrease by Rent and Employee's salary.
    The average selling price of SUBWAY with above gross sale is 200k+.
    Experience shows that leaving your job and investing in SUBWAY with
    similar sale is advisable if you also plan to work in store and save salary
    expense. Owners of Subway with sale below 300K yearly are not making deserving profit and their are tons of them available in market.
     
    #14     Mar 9, 2011
  5. kipster

    kipster

    that's pretty amazing...
     
    #15     Mar 10, 2011
  6. Ugh. I've found bones in my chicken nugs at McDonalds, and I've found bone(like) material in my turkey at Subway. Both equally low quality food, but Subway prices are usually higher (and their ingredients can hardly be considered "fresh").

    But I suppose it's a slightly better alternative than that monstrosity of a calorie fest called a Big Mac.

    Still, I don't think one can actually call Subway food "healthy"; that seems more like a marketing ploy to play on the obesity fears of Americans.

    Perhaps that's all besides the point, though.
     
    #16     Mar 10, 2011
  7. anybody try the angus snack wrap. pretty damn good. :D

    [​IMG]
     
    #17     Mar 10, 2011
  8. afto

    afto


    16% net profit..that sounds about right. Ten years ago, it used to be 20-22% in major US markets. Subway had the lowest food costs of pretty much any fast food franchise but the company policy of a Subway in every shopping center has created a bunch of lame ducks also.
     
    #18     Mar 10, 2011
  9. Went to a Subway recently. Ordered a footlong steak and cheese sub. The 'sandwhich artist' starts making my sandwhich. When I request tomato, she grabs the 1 remaining slice and tells me there's no more left.

    I see around the corner into their office and see a 2nd employee with his head down fast asleep. Now here's an idea. Get $5 from the till and tell dummy to wake up and go to the grocery store 1 block up and buy some damn tomatos.


    When I request Chipotle sauce, she informs me they ran out.

    FFFFFFFFFFFFFFFUUUUUUUUUUUUUUUU !!!!!!!!!!!!!!!!!!!

    Now here's another idea. How about telling me what's not available before I order. I would have walked if had I known they could only make 1/2 a sandwhich for which they intend to charge full price.
     
    #19     Mar 10, 2011
  10. Haha I agree!
     
    #20     Mar 10, 2011