Arby's vs Subway: Which Is the Better Investment?

Side-by-side comparison of investment costs, fees, unit economics, and franchisee satisfaction. Data from FDD disclosures and franchise database — updated 2026.

Food & Restaurant Real Data Not Investment Advice
A

Arby's

Food & Restaurant
$457K – $2.0M
View Full Profile →
VS
S

Subway

Food & Restaurant
$229K – $524K
View Full Profile →

At a Glance: Key Differences

Data-driven observations based on disclosed figures. Not investment advice — verify current numbers in each franchise's FDD.

Investment Cost
Subway wins on investment range ($1.5M less) vs Arby's.
Fee Burden
Arby's wins on royalty rate (4.0% lower) vs Subway.
Unit Count
Subway wins on total units (33,290 more) vs Arby's.
Satisfaction
Arby's wins on franchisee satisfaction vs Subway.

Investment & Fees

Metric Arby's Subway
Min Investment $457K $229K
Max Investment $2.0M $524K
Franchise Fee $38K $15K
Royalty Rate 4.0% 8.0%
Ad Fund Rate 4.2% 4.5%

Unit Economics

Metric Arby's Subway
Avg Unit Revenue $1.3M $420K
Avg Profit Margin N/A N/A

Scale & Growth

Metric Arby's Subway
Total Units 3,400 36,690
Annual Growth -0.8% -3.5%
Failure Rate 3.5% 8.0%

Franchisee Performance

Metric Arby's Subway
Franchisee Satisfaction 66/100 55/100

Track Record

Metric Arby's Subway
Years in Business 60 59
Years Franchising 58 48

Financial Requirements

Metric Arby's Subway
Min Net Worth Required $1.0M $100K
Liquid Capital Required $500K $50K

Operations

Metric Arby's Subway
Avg Employees 30 12
Training Weeks 6 2

Frequently Asked Questions

Is Arby's or Subway a better franchise investment?

The answer depends on your goals, budget, and market. Arby's has 3,400 total units and a 66/100 franchisee satisfaction score. Subway has 36,690 total units and a 55/100 franchisee satisfaction score. Use our ROI Calculator to model both scenarios.

How much does it cost to open a Arby's franchise?

Based on data in our database, opening a Arby's franchise requires an initial investment of $457K – $2.0M. The franchise fee is $38K, with ongoing royalties of 4.0%. Always request the current FDD for exact figures.

How much does it cost to open a Subway franchise?

Based on data in our database, opening a Subway franchise requires an initial investment of $229K – $524K. The franchise fee is $15K, with ongoing royalties of 8.0%. Always request the current FDD for exact figures.

What is the royalty rate for Arby's vs Subway?

Arby's's royalty rate is 4.0%. Subway's royalty rate is 8.0%. That means Arby's has the lower ongoing royalty burden.

Which has more locations — Arby's or Subway?

Arby's has 3,400 total units. Subway has 36,690 total units. A larger system can mean more brand recognition, but also more territorial competition.

Is Arby's or Subway semi-absentee friendly?

Arby's is typically run as a semi-absentee model. Subway is typically run as a owner-operator model. If passive income is your goal, semi-absentee models let you hire a manager to run day-to-day operations.

Data sourced from franchise disclosure documents and public records. Investment ranges, royalty rates, and unit counts change — always request current FDD before making investment decisions. Last updated March 2026.

Get Personalized AI Matching

See which franchise fits your budget, lifestyle, and goals — not just which has better raw numbers.

Start Free →

Compare Up to 4 Franchises

Our full comparison tool adds personalized fit scores, FDD insights, and territory availability.

Open Comparison Tool