2026 FDD Issued Mar 25, 2026 Minnesota Commerce (CARDS) Checked Oct 9, 2026
Firehouse Subs Franchise Cost (2026)
A Firehouse Subs franchise costs an estimated $405,350 – $875,950 to open, according to Item 7 of the 2026 Franchise Disclosure Document (FDD). That total includes the $20,000 initial franchise fee (Item 5) and covers this format: Inline. Item 6 lists royalty: 6% of Gross Sales, subject to the conditions below.
- Total investment
- $405K – $876KItem 7 source and qualifications
- Franchise fee
- $20KItem 5 source and terms
- Royalty
- 6% of Gross SalesItem 6 conditions and fee bases apply
- Brand fund
- 5% of Gross SalesItem 6 conditions and fee bases apply
- Units (2025)
- 1,291Item 20 source and scope
- Franchise exit rate
- 2.3% / yrCalculated 3-year average; definition and source
What stands out about Firehouse Subs
A commissioned mural sits in Item 7 separately from interior graphics and exterior signs. The artist's estimate assumes the walls are already prepared; size and design can change that allowance. The market introduction fee is another distinct opening charge and does not replace continuing marketing obligations. Real estate has no numeric allowance in the table, so its absence from the sum does not mean a site costs nothing.
The development programs in Item 5 offer conditional cash contributions rather than an automatic reduction in the franchise fee. Construction timing, opening deadlines and acceptance into the program determine the payment; missed deadlines or loss of required ownership and control can trigger repayment. A regular development agreement credits prepaid fees toward each restaurant's franchise fee, while incentive agreements require full prepayment. These are different cash-flow arrangements, not interchangeable discounts.
Item 19 separates counter-service restaurants from both drive-thru formats. Its counter-service group includes nontraditional locations without a drive thru, so $973,809 is not an inline-only average. Restaurant-level earnings before interest, taxes, depreciation and amortization come from a smaller group that submitted sufficient financial statements. Above-restaurant office costs and separately reported district-management costs are excluded, preventing that disclosed operating measure from being treated as owner income.
What are the initial franchise fees and financial requirements for Firehouse Subs?
Item 5 lists an initial franchise fee of $20,000 for Firehouse Subs. Check the cited Item 5 for payment timing, discounts and format-specific terms.
Item 5, PDF pp. 24–28: the standard $20,000 fee covers a ten-year agreement, is prorated for a different term and is nonrefundable. A regular Development Agreement prepays $10,000 per restaurant, credited against that restaurant's initial franchise fee, rather than charged again. The development incentive programs instead require full $20,000 prepayment per committed restaurant. Cash contributions require franchisor acceptance, good standing, signed program agreements and construction/opening deadlines; contributions can be reduced or repayable, and programs generally cannot be combined. The veteran/first-responder program also requires majority ownership and operating control; loss of those conditions during the first agreement year requires repayment. Incentives are not automatically deducted from Item 7. Item 5 quotes a background check fee up to $500, while Item 7 prints $0–$450; those different source amounts are retained rather than reconciled by assumption.
Source: Firehouse Subs 2026 FDD, Item 5, PDF p. 24.
This record lists no minimum net worth or liquid-capital requirement for Firehouse Subs, because no sourced figure has been recorded. Ask the franchisor for its current financial qualifications in writing.
How much does it cost to open a Firehouse Subs franchise? (Item 7)
Source: Firehouse Subs 2026 FDD, Item 7, PDF p. 33.
Item 7 of Firehouse Subs’s 2026 Franchise Disclosure Document estimates the total cost to open one inline at $405,350 – $875,950. This total includes the initial franchise fee.
| Expense Category | Low ($) | High ($) |
|---|---|---|
| Background Check Fee | $0 | $450 |
| Initial Franchise Fee | $20,000 | $20,000 |
| Mural | $3,500 | $6,000 |
| Training | $7,000 | $26,000 |
| Market Introduction Fee | $5,000 | $5,000 |
| Architectural & Engineering Fees | $11,000 | $20,000 |
| POS System/Technology | $5,000 | $7,500 |
| Real Property Improvements | $0 | $10,000 |
| Leasehold Improvements | $210,000 | $459,000 |
| Deposits and Prepaid Expenses | $2,500 | $21,500 |
| Exterior Signs | $4,500 | $21,900 |
| Interior Branding & Graphics | $7,000 | $16,000 |
| Equipment and Fixtures | $105,000 | $169,000 |
| Opening Inventory | $12,000 | $25,000 |
| Business Licenses | $650 | $14,900 |
| Insurance | $500 | $1,500 |
| MIS System Fee | $1,200 | $1,200 |
| Legal, Accounting and Professional Fees | $500 | $6,000 |
| Additional Funds (Working Capital - 3 months) | $10,000 | $45,000 |
| Total | $405,350 | $875,950 |
Other formats
| Format | Total investment |
|---|---|
| Inline End Cap with Drive Thru | $528,159 – $1,087,050 |
| Free-standing with Drive Thru | $767,950 – $1,577,750 |
For comparison, the median high-end investment among 25 restaurants & food records without a source-review hold is $1,297,100.
Inline numeric rows are from PDF pp. 33–34; end-cap totals are on p. 34 and freestanding totals on p. 36. The separate Real Estate row has no numeric estimate: Note 5 says acquiring or leasing real estate cannot be estimated, and the total excludes real estate, including land or building purchase. Site-specific impact and permit fees are also unestimated. Training assumes only the owner and managing owner; classroom-week expenses, trainee salary and benefits are excluded. The mural allowance assumes prepared walls. The first-year MIS estimate assumes the full annual charge although it is prorated. Additional funds cover an estimated three months, not a guarantee that more capital will not be needed. Item 7's $0–$450 background check estimate differs from Item 5's up-to-$500 fee; both are reported with their own source qualification. These totals assume one restaurant and do not subtract conditional incentive contributions.
What ongoing royalties and fees does Firehouse Subs charge? (Item 6)
Source: Firehouse Subs 2026 FDD, Item 6, PDF p. 29.
Item 6 of Firehouse Subs’s 2026 FDD lists the charges below. Recurring charges and charges triggered by a transfer, renewal or other event have different conditions. Read each fee’s basis and notes before comparing rates.
How to read an Item 6 fee table.
| Fee Type | Amount / Rate | Payment Frequency | Notes & Source |
|---|---|---|---|
| Royalty | 6% of Gross Sales | Every period | Per Accounting Period, currently Monday–Sunday for royalty and marketing. Gross Sales includes catering and delivery; good-faith refunds, operating-equipment sales and remitted sales taxes are excluded. PDF p. 32 describes a qualifying accelerated-market reduction equal to 2% of Gross Sales during the first three years; the separate deferred-renovation default can increase the rate. (Item 6, PDF p. 29) |
| MIS System Fees | $1,200 per year | Every period | Annual per restaurant, payable even before opening. Item 5, PDF p. 27, says up to $1,200 and prorates the first invoice through December 31; Item 6 prints $1,200 annually and Item 7 assumes the full amount before opening. (Item 6, PDF p. 29) |
| Digital Technology Fee – Fixed Portion | $150 per month | Every period | Per restaurant, plus the separate Digital Sales percentage. (Item 6, PDF p. 29) |
| Digital Technology Fee – Sales Portion | 1% of Digital Sales | Every period | Defined digital channels and registered-user transactions; excludes third-party ordering-platform sales. (Item 6, PDF p. 29) |
| Delivery Guest Support Services Fee | $0.25 – $0.75 | When it applies | Per app/website delivery order, collected from guests and invoiced to the restaurant. (Item 6, PDF p. 29) |
| Technology Fees | Varies | When it applies | Currently none; possible charge from $0 to $1 per transaction for provided technology services. (Item 6, PDF p. 29) |
| System Fund Contribution | 5% of Gross Sales | Every period | Currently 5%; not to exceed 5%. (Item 6, PDF p. 29) |
| Special Co-Op Contribution | Varies | When it applies | Currently none; up to 4% of Gross Sales if required by the cooperative. (Item 6, PDF p. 30) |
| Additional Training | $50 | When it applies | Per person per day, as needed. (Item 6, PDF p. 30) |
| Refresher Training | $100 | When it applies | Per person per day if required. (Item 6, PDF p. 30) |
| Artwork Costs | Varies | When it applies | Removal reimbursement on termination/expiration, no more than $1,000. (Item 6, PDF p. 30) |
| Transfer | Varies | When it applies | 50% of then-current initial franchise fee when the agreement or a controlling ownership interest is transferred; $1,500 for transfers among existing owners. (Item 6, PDF p. 30) |
| Renewal | Varies | When it applies | 50% of then-current initial franchise fee for a conditional successor agreement. Item 6 requires exercising the option during the ninth year, no later than 180 days before expiration. Item 17 permits one renewal term, not indefinite renewals. (Item 6, PDF p. 30) |
| Insurance | Varies | When it applies | Coverage cost plus reasonable procurement expenses not exceeding $5,000 if franchisor obtains coverage. (Item 6, PDF p. 30) |
| Product Testing, Inspections and Approval | Varies | When it applies | Actual evaluation expenses, capped at $30,000 per product or supplier. (Item 6, PDF p. 30) |
| Development Agreement Brand Damage Fee | Varies | When it applies | Remaining balance of prepaid initial franchise fees if the franchisor terminates the Development Agreement before expiration; the franchisor can also retain initial fees already paid under that agreement. (Item 6, PDF p. 31) |
| Audit | Varies | When it applies | Inspection/audit cost plus travel for missing information or sales understated by 2% or more. (Item 6, PDF p. 31) |
| Interest | Varies | When it applies | Lesser of 1.5% per month or the highest legal contract rate; California maximum stated as 10% per annum. (Item 6, PDF p. 31) |
| Late Payment Penalties | $250 | When it applies | For late payments, reports and dishonored checks; interest also applies. (Item 6, PDF p. 31) |
| Third-Party Food Safety and Brand Standards Inspections | Varies | When it applies | Costs for re-inspection/additional inspection after failure or non-passing metrics. (Item 6, PDF p. 31) |
| Costs and Attorneys' Fees | Varies | When it applies | Applicable expenses upon failure to comply with the agreement. (Item 6, PDF p. 31) |
| Indemnification | Varies | When it applies | Reimbursement for covered restaurant-operation claims. (Item 6, PDF p. 31) |
| Deferred Renovation Default Royalty | Varies | When it applies | PDF p. 32: agreed before signing the addendum, typically up to 9% of Gross Sales. Missing the agreed renovation deadline triggers the higher rate upon 90 days' notice, until the franchisor confirms completion to its specifications. (Item 6, PDF p. 31) |
| Firehouse Subs Public Safety Foundation | $1,000 | When it applies | For each restaurant developed under a Development Agreement. (Item 6, PDF p. 32) |
Explore annual fees and payback assumptions
This fee schedule cannot be reduced to the calculator’s simple sales-based formula. Enter your own assumptions and check them against the Item 6 terms.
Firehouse Subs startup investment and modeled fees over 10 years
Digital Technology Fees include a Digital Sales percentage, while delivery fees depend on qualifying order counts. Total recurring fees cannot be determined from the broad annual sales figure alone. See the fee amounts and definitions in Item 6 above. Open the calculator with your own assumptions.
Item 20: Firehouse Subs franchised outlet history
Source: Firehouse Subs 2026 FDD, Item 20, PDF p. 89.
Item 20 Table 3 reports 1,249 franchised outlets at the end of 2025. The company-owned table reports a further 42 outlets. Our calculated average annual franchised exit rate is 2.3% across the 3 reported years, using the definition below.
| Year | Franchised at Start | Opened | Reported Exits | At End | Franchise Exit Rate (%) |
|---|---|---|---|---|---|
| 2023 | 1,149 | 47 | 26 | 1,170 | 2.3% |
| 2024 | 1,170 | 62 | 26 | 1,206 | 2.2% |
| 2025 | 1,206 | 73 | 30 | 1,249 | 2.5% |
Franchised units went from 1,149 to 1,249 over 3 years (+100).
Reported exits include terminations, non-renewals, franchisor reacquisitions and other cessations. A reacquired outlet may continue operating. How we calculate the exit rate. How to read the Item 20 outlet tables. Compare Firehouse Subs’s exit rate with other brands.
88 units changed owners in 2025.
Table 3 printed totals are on PDF p. 89, company-owned Table 4 totals on p. 90 and transfer Table 2 totals on p. 84. Table 3 includes Puerto Rico, with 15 franchised restaurants at the end of 2025 on p. 88; its 1,249 total therefore has a different geographic scope from Item 19's 1,234 count excluding U.S. territories. The printed totals are retained, not relabeled as excluding territories. Openings include previously closed locations reopened under a new agreement with a different franchisee, not only new physical sites. The FDD warns that posting dates, resales, acquisitions and temporary closure/reopening can overlap fiscal years.
How much do Firehouse Subs franchise owners make? (Item 19)
Source: Firehouse Subs 2026 FDD, Item 19, PDF p. 74.
Item 19 of the 2026 FDD reports average Annual Sales Volume - Counter Service Franchised Restaurants of $973,809 (January 1, 2025 to December 31, 2025, 1,033 U.S. Counter Service franchised Restaurants continuously operated throughout 2025; excludes U.S. territories and restaurants with a drive thru). Besides sales, Firehouse Subs’s Item 19 reports “Average Restaurant-level EBITDA - All Section B Reporting Restaurants” and “Median Restaurant-level EBITDA - All Section B Reporting Restaurants”. Each figure follows the franchisor’s own definition in Item 19, which decides which costs are deducted and whether an owner’s salary is one of them. None of them is necessarily an owner’s take-home pay.
See every Firehouse Subs Item 19 figure, with its period and sample.
Payback calculator (enter your own assumptions) Check any inputs against this record’s Item 7 startup costs and Item 6 fee rules.
How to interpret Firehouse Subs’s Item 19 figures and sample limits.
How long is the Firehouse Subs franchise agreement term?
Source: Firehouse Subs 2026 FDD, Item 17, PDF p. 64.
The standard Firehouse Subs franchise agreement runs 10 years, with renewal terms of 10 years.
Item 17, PDF p. 64: typically ten years from the agreement date, with one conditional ten-year renewal term. Renewal requires notice, payment and compliance, approved reimaging and refurbishment, a release, no pending or threatened litigation, financial approval and signing the then-current agreement, which may change ownership conditions, royalty and system fund contributions. This is not a right to unlimited renewals.
How long does it take to open a Firehouse Subs franchise? (Item 11)
Source: Firehouse Subs 2026 FDD, Item 11, PDF p. 52.
Item 11 of the 2026 FDD states the time from signing the franchise agreement to opening: 30 days.
From site approval to opening, Item 11 gives a typical 200 to 390 days. The restaurant must open within 12 months of approval of the site and its lease.
Compare Firehouse Subs with other franchises
Head-to-head FDD cost, fee, and earnings comparisons:
Franchises with a similar investment range
These published records are selected by proximity to Firehouse Subs’s $405,350 low-end Item 7 investment, starting with Restaurants & Food. Formats, fees and source qualifications differ; the figures are not interchangeable budgets:
- Cold Stone Creamery $391K – $681K Source review pending Provisional publication Restaurants & Food
- Little Caesars $377K – $1.77M Source review pending Provisional publication Restaurants & Food
- Jersey Mike's $436K – $1.16M Restaurants & Food
- Penn Station East Coast Subs $441K – $820K Restaurants & Food
- Jimmy John's $366K – $734K Source review pending Restaurants & Food
- German Doner Kebab $366K – $638K Source review pending Provisional publication Restaurants & Food
Compare other restaurants & food franchises
Frequently Asked Questions about Firehouse Subs
- What is the franchise fee to open a Firehouse Subs?
- The initial franchise fee is $20,000 for a standard agreement.
- How much does a Firehouse Subs cost to open?
- Item 7 estimates $405,350 – $875,950 for an inline restaurant, excluding real estate. The separate end-cap and freestanding drive-thru formats have their own ranges; site-specific unestimated costs and conditional incentives require reading the notes.
- What are the ongoing fees for Firehouse Subs?
- Item 6 lists a standard royalty of 6% of Gross Sales and a system fund contribution of 5% of Gross Sales, plus annual MIS, monthly fixed technology and digital-sales charges. Conditional co-op, delivery and other fees also apply. The sales average alone cannot determine total recurring fees.
- How much does a Firehouse Subs location make?
- Item 19 reports $973,809 in average annual sales for counter-service franchised restaurants continuously operated throughout 2025, excluding U.S. territories. Separate drive-thru groups and a smaller EBITDA reporting group are disclosed. Sales and restaurant-level EBITDA are not take-home owner income.
Sources
Firehouse of America, LLC Franchise Disclosure Document, issued March 25, 2026, as filed with the Minnesota Commerce (CARDS). Read the source FDD PDF. How to get this FDD yourself.
- Item 5: cited PDF p. 24
- Item 6: cited PDF p. 29
- Item 7: cited PDF p. 33
- Item 19: cited PDF p. 74
- Item 20: cited PDF p. 89
- Agreement term (Item 17): cited PDF p. 64
Page references for Firehouse Subs use the PDF viewer's digital page count, not printed page headers. Some viewers download the document instead of opening the referenced page.
If the state document viewer does not open, use Minnesota Commerce's public filing instructions to look up the filing by franchisor name and document date.
Document & verification changelog
- October 29, 2026: Record updated.
- October 9, 2026: Source check completed against the recorded FDD.
- October 9, 2026: Initial cost profile published from the 2026 Franchise Disclosure Document (issued March 25, 2026).