Cousins Subs Franchise Costs, Fees & Owner Salary (2023)

Initial Franchise Fee ($25,000)

‍The initial franchise fee for a Cousins Subs franchise is $25,000. This fee is considered fully earned and non-refundable when paid. If you are an existing franchisee, you may purchase additional franchises for Cousins Subs Shops during the term of the Franchise Agreement. The initial franchise fee for additional franchises is $17,500 for each additional franchise you purchase.

Royalty Fee (6% of Gross Sales)

‍Franchisees are required to pay a weekly royalty fee equal to six percent (6%) of the Gross Sales of the Shop for the immediately preceding week (Reporting week is Sunday through Saturday).

Advertising Fee (2% to 5% of Gross Sales)

Franchisees are obligated to contribute towards advertising and marketing efforts. This includes a contribution of 2% of Gross Sales to the Advertising and Development Fund, which can be increased to 5% of Gross Sales.

The franchise requires an initial investment that covers various aspects of setting up and running the business. These expenditures include the initial franchise fee, leasehold improvements, equipment and small wares, seating packages, initial inventory, and several other costs.

The total estimated initial investment for opening a Cousins Subs franchise ranges from approximately $444,700 to $954,500. This comprehensive investment ensures that franchisees are well-equipped to start their business journey with Cousins Subs.

Training Program: Cousins Subs provides a comprehensive training program designed to ensure franchisees are equipped with the necessary knowledge and skills to operate their establishment.

Who Needs to Attend: The franchisee or its designated managers are required to complete Cousins Subs' initial training program.

Training Content: The program covers essential topics for running the establishment, including sales techniques, product orientation, accounting procedures, food preparation, and operations management.

Location and Duration: Training is conducted at Cousins Subs' corporate office in Menomonee Falls, Wisconsin, and at designated training facilities. The duration is a minimum of 25 days, although the specific number of days depends on Cousins Subs' opinion of the franchisee and their managers' experience and needs.

Training Expenses: While Cousins Subs provides the initial training program for the franchisee's designated managers, franchisees are responsible for personal travel, accommodation, and other costs while attending training.

Franchisees do not receive an exclusive territory. They might face competition from various sources, including other franchisees, outlets directly owned by the franchisor, and other distribution channels or competitive brands overseen by the franchisor.

Franchisees operate from a specific approved location, and the territory is dependent on this location. If the approved location is at a Non-Traditional Location, the territory will consist only of that Non-Traditional location.

Additionally, there are certain exclusions from the territory, and other than the limited exclusivity granted, the franchisor and its affiliates retain all other rights within the territory. This includes the right to use, franchise, or license other persons to use the Marks and System for the operation of other businesses, even within the franchisee's territory.

Cousins Subs does not mandate that the franchisee personally supervise the franchised business. However, there is a stipulation that the business must be overseen either by the franchisee or by two full-time designated managers who have met the franchisor's requirements.

The Cousins Subs franchise model provides some flexibility in terms of management. While the franchisee does not have to personally oversee the daily operations, there is a requirement for active supervision, either by the franchisee or by two designated full-time managers.

This suggests that while there's room for delegation, the franchise isn't designed to be a purely passive investment.