Firehouse Subs Item 19: $966K median across 665 franchised restaurants for fiscal 2024. How the brand compares to Jersey Mike's and Subway on unit economics, and what the Restaurant Brands International ownership means for franchisees.
Quick answer: Firehouse Subs’ Item 19 reports a $966K median across 665 franchised restaurants for fiscal 2024. The brand sits in a mid-tier position on absolute revenue — above Subway, below Jersey Mike’s. The AUV-to-investment ratio at the midpoint is ~1.0×, modest for the category. Restaurant Brands International (RBI) acquired the brand in 2021 and has driven aggressive multi-unit development; the franchise-system economics are evolving as RBI consolidates. The deal works for operators committed to multi-unit development with capacity to absorb RBI’s development requirements; single-unit buyers face stronger competition for territories than five years ago.
Firehouse Subs’ most recent Item 19:
| Metric | Value |
|---|---|
| Sample size | 665 franchised restaurants |
| Sample criteria | All franchised units |
| Reporting period | Fiscal year 2024 |
| Median annual revenue | $965,687 |
| Total system units | 1,291 |
| Total investment (Item 7) | $405,350 - $1,577,750 |
| Franchise fee | $20,000 |
| Royalty rate | 6% |
| Ad fund | 4.0% to 5.0% |
The 665-restaurant sample covers the franchised system (excluding company-operated locations). Methodology is conservative. The royalty + ad fund total (10-11%) is among the higher franchisor-share structures in the sandwich category.
Firehouse Subs occupies a specific position in the sandwich-franchise category:
Hot-served subs as differentiation. Unlike Subway and Jersey Mike’s, Firehouse serves its subs hot (steamed meat and cheese, toasted bread). The category sub-segment is smaller — Quizno’s once led it before contracting — but the differentiation supports premium pricing.
Public-safety brand positioning. The brand identity is built around founder firefighter heritage, the Firehouse Subs Public Safety Foundation, and consumer brand association with first responders. The positioning is genuinely differentiated and supports brand affinity, particularly in markets with strong public-safety community presence.
Hawaiian Bread and signature menu items. The Hook & Ladder sub, the smokehouse meatball sub, and the hawaiian-bread platform create menu identity beyond commodity sub competition.
Southern US strength. The brand originated in Jacksonville, Florida and has historically over-indexed in the Southeast. Markets outside the brand’s geographic strength typically produce lower AUV than the system average.
Restaurant Brands International (the parent of Burger King, Tim Hortons, and Popeyes) acquired Firehouse Subs in December 2021 for approximately $1B. Three years into RBI ownership, the franchise system has changed in several ways:
Aggressive multi-unit development. RBI’s franchise-development playbook emphasizes large area-development agreements (5-20+ unit commitments) over single-unit franchisees. New franchise approvals increasingly skew toward established multi-unit operators (often current Burger King or Popeyes franchisees adding Firehouse to their portfolio).
Supply chain consolidation. RBI has integrated Firehouse Subs into its broader supply-chain platform, producing meaningful cost-of-goods leverage. Franchisees report better cost-of-goods stability than under independent ownership.
Technology platform standardization. RBI’s franchisee technology stack (POS, loyalty, digital ordering, delivery integration) has been deployed at Firehouse. The integration has accelerated digital revenue but introduced operational standardization that some legacy franchisees describe as constraining.
Development pressure on existing franchisees. Single-unit and small-multi-unit franchisees increasingly face pressure to either expand (taking on additional units) or face development restrictions on their territory. The franchisor system favors operators willing to commit to multi-unit growth.
For a prospective franchisee, the implication is that Firehouse Subs is now an RBI-platform franchise, not an independent brand. The deal economics and operational model should be evaluated alongside Burger King, Popeyes, and the broader RBI franchise ecosystem rather than as a standalone sandwich franchise.
| Brand | Sample | Median AUV | Investment | AUV/Investment |
|---|---|---|---|---|
| Firehouse Subs | 665 | $966K | $405K-$1.58M | 1.0× |
| Jersey Mike’s | 2,255 | $1.29M | $186K-$1.42M | 1.6× |
| Jimmy John’s | larger | $700K-$1.0M (est.) | $300K-$800K | 1.5× |
| Subway | very large | $400K-$500K (est.) | $150K-$400K | 1.5-2× |
| Quizno’s | smaller | $400K-$600K (est.) | $200K-$400K | 1.5× |
| Penn Station | smaller | $700K-$900K (est.) | $300K-$500K | 2× |
Firehouse Subs sits in the middle of the sandwich category on absolute revenue but produces a lower ratio than peers. The brand’s higher build-out cost (hot-service infrastructure requires more kitchen equipment than cold-sub formats) and higher royalty/ad fund burden together compress the ratio compared to lower-cost competitors.
For deeper context, see our Jersey Mike’s Item 19 deep dive and Subway Item 19 survivorship bias.
A new Firehouse Subs restaurant in months 1-12 typically generates:
That’s 70-85% of system median. Firehouse ramps similarly to Jersey Mike’s structurally — the sandwich category has short repeat-customer cycles and benefits from established brand awareness in most US markets.
Geographic location is a major variance driver. Southeast-US restaurants typically reach system median in 12-15 months. Non-Southeast restaurants may take 18-24+ months and may settle 10-20% below system median in steady state. Buyers in non-traditional markets should adjust underwriting accordingly.
For broader category context, see our best sandwich franchise breakdown and Item 19 average vs. median. For brand-specific cost detail, the live Firehouse Subs franchise page.
Firehouse Subs' most recent Item 19 reports a $965,687 median annual revenue across 665 franchised restaurants for fiscal year 2024. The disclosure covers all franchised units — methodologically conservative.
Three reasons. First, the brand is smaller scale (1,291 system units vs. Jersey Mike's 2,955) and has less national brand awareness. Second, Firehouse's hot-served sub positioning is operationally heavier than cold-sub formats, which can reduce throughput at peak times. Third, the brand has historically over-indexed in the Southeast US with weaker performance in non-Southern markets — geographic distribution affects the system-level average.
At the midpoint, it's modest. $966K of median revenue against $991K of investment (Item 7 midpoint) produces a ratio of roughly 0.97×. That's below the sandwich-category leader (Jersey Mike's at 1.6×) and below traditional franchise thresholds (1.5×+). The ratio improves materially at the low end of the investment range — a $450K conversion site against $966K of revenue produces a 2.1× ratio.
RBI acquired Firehouse Subs in 2021 for $1B. Since acquisition, the brand has emphasized aggressive development (multi-unit area development agreements) and operational consolidation under RBI's franchise-platform infrastructure. The shift has benefits (supply-chain leverage, technology platform access, capital for marketing) and trade-offs (less brand-specific flexibility, more development pressure on existing franchisees).
Item 7 reports a total initial investment range of $405,350 to $1,577,750. The franchise fee is $20,000. Royalty is 6%; ad fund contribution runs 4.0% to 5.0%. The investment range reflects significant build-out variation — in-line strip-center sites at the low end, end-cap with drive-thru at the upper end.
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