Licensing & Area Development Program

Questions for the prospective developer in a multi-unit Development Agreement:

(3) Three. Based upon area and population.

What are the financial requirements?
$1 million net worth. $500k million liquid.  All financials must be accurate and verifiable.

How much does it cost to open a restaurant?
Costs range from $135,000 up to $249,000 depending on size (approximate size ranges from 1200 sq. ft to 1800sq.ft), construction costs, leasehold improvements, equipment and market rates.

What about training?
Training in our system lasts 9 weeks in a two level program. Six of those weeks are spent in store Operations which include hands-on training in the Operating system of Delaware Subs, its product preparation, procedures and customer service. The remaining three weeks are spent in Office Administration concentrating on bookeeping procedures including classification and input of daily receipts, input of vendor liabilities, accounts payable, bill paying, payroll, payroll taxes, scheduling and any other administrative related duties. You will have access to our training manuals to assist you during this time.

Does Delaware Subs offer any financing?
Delaware Sub Shops Inc. does not provide or offer financing for Development Agreements. Please contact your local SBA or financial institution to see if you are eligible to receive financing for working capital for this type of investment.   

How much money can I make?
Delaware Sub Shops Inc does not make earnings claims, return on investment projections or profitability estimates. The profitability of your operation(s) rests primarily your ability to efficiently manage your operation based on the guidelines provided during training and reviewing the financials of Delaware Sub shops Inc.

What are the various fees involved?

Area Development Fee:  Exclusive territorial fee paid to the company to reserve exclusive area for store development. .15 cents per capita in defined area.

1st  store initial fee:  This fee represents the training, assistance in site location, assistance in lease negotiation and hands on support necessary to get your first location off the ground. This initial fee is $40,000 for the first initial store

Additional Store Fee: This fee represents the discounted cost for each additional location for training and support. $30,000 per additional location.  

Royalty Fees:  Delaware Sub Shops charges  a  6  ½% royalty fee on all gross sales of a single unit each month.

Advertising Fee:  The developer pays an advertising contribution of 2% of the gross sales each month.

May I or my company have more than one development agreement?
Yes. Provided you are in good standing and in compliance with our initial agreement