Jersey Mike's^®

Food & Beverage • Year: 2024

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What Is Jersey Mike's?

Jersey Mike's is a franchise of restaurants offering a wide assortment of made-to-order submarine-type sandwiches, other sandwiches, and related food products and beverages. Franchised restaurants provide products for both on-premises and off-premises consumption. Franchisees are granted rights to use the Jersey Mike's marks and operate under a proprietary system that prescribes restaurant design, recipes, procedures, and operational controls.

Jersey Mike's Franchise: Pros and Cons

The franchisor's strongest asset is an exceptional 100 Training & Support score and 436 initial training hours, putting new operators in the top 5% for preparation, but a notable risk is its 28 company‑owned locations (top 10%), which may indicate a preference for corporate expansion over growing the franchise base.

Pros

The franchisor earned a 100 Training & Support score, well above typical (top quarter), and provides 436 initial training hours (top 5%), which means you'll be thoroughly prepared before opening.

Initial fees are refundable-uncommon in Food & Beverage (only ~14% offer this) and atypical since ~88% have non‑refundable fees-giving you clear downside protection if the deal doesn't proceed.

Zero outlet terminations and zero non‑renewals (both bottom 5%), combined with no franchisee‑initiated judgments or settlements and minimal franchisor enforcement, indicate unusually low legal conflict and operator exits compared with peers.

Cons

There are 28 company‑owned locations, well above typical (top 10%); per the franchisor's own guidance, a high corporate footprint warrants further investigation into whether the company favors corporate growth over expanding a franchise base.

The Item 7 training cost cap is $68,000, well above typical for Food & Beverage (top 5%), which raises the potential upfront cash required to complete mandated training and onboarding.

One government penalty or order is above typical for Food & Beverage (top quarter), signaling regulatory scrutiny you should have the franchisor explain before committing.

Lawsuits & Legal Risk

NORMAL

Jersey Mike's - The Facts: In 2018–2019 the Washington Attorney General sued Jersey Mike’s and local franchisees over a legacy no‑poach clause; Jersey Mike’s removed the clause, amended Washington agreements, entered an Assurance of Discontinuance and paid $150,000 without admitting liability. The Advice: Review hiring and post‑termination restrictions and confirm state‑specific amendments with counsel.

Territory Protection

43/100

NORMAL

Jersey Mike's grants a non-exclusive protected Designated Area, typically a 0.5–1 mile radius, with site-specific boundaries established by the franchisor. The franchisor may develop additional units (including non-traditional venues), use alternative channels including e-commerce, territory rights are contingent on meeting performance quotas, and the franchisee lacks first-refusal.

Training & Support

100

Excellent

The brand provides a comprehensive 436-hour training curriculum designed to prepare three managerial staff members for launch. The program includes on-site launch assistance for operational readiness, with travel and lodging expenses borne by the franchisee and certain on-site support services subject to additional fees.; "training_and_support_score": 100.0, "total_training_hours": 436, "is_on_site_training_provided": true, "on_site_days_pre_launch": "[Data not found for on_site_days_pre_launch]", "on_site_days_post_launch": "[Data not found for on_site_days_post_launch]", "are_living_expenses_covered_by_franchisor": false, "num_people_included_in_initial_fee": 3, "on_site_support_has_additional_cost": true, "canonical_name": "Jersey Mike's", "year": 2024

How Much Does It Cost to Open a Jersey Mike's Franchise?

Opening a Jersey Mike's franchise requires a total initial investment of $203,583 to $1,317,005, according to the 2024 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$203,583

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$1,317,005

Minimum Investment Breakdown

Franchise Fee$20,500

Real Estate$108,325

Equipment & Assets$42,898

Reserves$15,000

Training$1,000

Other$15,860

Maximum Investment Breakdown

Franchise Fee$22,500

Real Estate$674,411

Equipment & Assets$438,217

Reserves$15,000

Training$68,000

Other$98,877

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do Jersey Mike's Franchise Owners Make?

Jersey Mike's franchise locations reported average gross sales of $1,302,781 and median gross sales of $1,272,804 in 2024, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$1,302,781

Median Gross Sales:

$1,272,804

High Gross Sales:

$3,793,060

Low Gross Sales:

$492,695

Sample Size:

2138

Percent Attaining Average:

46.0%

Audit Status:

Unaudited

Franchise vs Corporate Performance: Franchised Traditional locations (2023) show an average unit volume of 1,302,781 compared with company-owned average unit volume of 1,503,688, indicating company-owned sites on average reported higher gross sales in 2023.

Performance Variability Analysis: There is substantial variability among franchised Traditional locations in 2023, with a range from 492,695 to 3,793,060 and only 46% of franchisees meeting or exceeding the reported average, suggesting wide dispersion of outcomes across units.

Data Scope and Limitations: The representation covers only outlets open more than ~360 days and excludes many Non-Traditional locations; no expense or net income breakdowns are provided, limiting profitability analysis.

Frequently Asked Questions

Is Jersey Mike's a good franchise to own?

Whether Jersey Mike's is a good franchise depends on your goals, experience, and local market. Key factors from the 2024 FDD: Jersey Mike's operates 2675 locations, received a legal risk score of 98/100, a training and support score of 100/100. Financial performance data is disclosed in Item 19. Prospective franchisees should review the full Franchise Disclosure Document and consult with a franchise attorney before making any investment decision.

Is a Jersey Mike's franchise worth the investment?

The value of a Jersey Mike's franchise investment depends on factors such as location, operator experience, and market demand. The initial investment ranges from $203,583 to $1,317,005. Jersey Mike's disclosed average gross sales of $1,302,781 in 2024. Franchise investments carry inherent risk, and prospective buyers should conduct thorough due diligence before committing capital.

How long does it take to break even with a Jersey Mike's franchise?

Break-even timelines for Jersey Mike's franchises are not disclosed in the 2024 Franchise Disclosure Document. Break-even periods vary significantly based on initial investment level, local market conditions, operating costs, and revenue ramp-up speed. Prospective franchisees should build a pro forma financial model using Item 7 cost estimates and, where available, Item 19 financial performance data from the FDD.

Is Jersey Mike's a franchise or a corporate-owned business?

As of the 2024 FDD, Jersey Mike's operates 2647 franchised locations and 28 company-owned locations. Franchise opportunities are available through the franchisor's disclosure process.

Interested in Jersey Mike's?

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