Risk Score
Pending analysis
Investment Range
$378,650 - $1,392,100
Franchise Fee
$10,000
Total US Locations
1,248
Business Summary
Firehouse Subs operates restaurants that specialize in offering large, hot submarine-style sandwiches in a unique fire-fighting themed environment. The restaurants aim to provide economical prices under the Firehouse Subs trade name and business system, known as FIREHOUSE SUBS® Restaurants. Firehouse Subs also uses a distinctive business format, methods, procedures, designs, layouts, signs, equipment, menus, recipes, trade dress, standards, and specifications, which are subject to continuous improvement.
Corporate History
Firehouse Subs, operating as FIREHOUSE OF AMERICA, LLC (FOA), was organized in Florida on November 16, 2004, and began offering franchises in December 2004. Its immediate parent and predecessor, FRG, LLC (FRG), was originally incorporated as Firehouse Restaurant Group, Inc. on February 20, 1995. FRG was the franchisor of Firehouse Subs Restaurants and sold 219 franchises before the reorganization in December 2004. In December 2021, FRG and its stockholders were sold to North Pole Acquisition, Inc., making Firehouse Subs an indirect subsidiary of Restaurant Brands International Limited Partnership (RBILP) and Restaurant Brands International Inc. (RBI), which also owns Burger King, Popeyes, and Tim Hortons brands. FRG continues to offer Firehouse Subs franchises in Latin America.
Financial Overview
Investment Range
$378,650 - $1,392,100
Franchise Fee (Low)
$10,000
Franchise Fee (High)
$20,000
Royalty %
6%
Marketing %
5%
Equipment Costs (Low)
$112,700
Equipment Costs (High)
$230,000
Working Capital
$27,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Firehouse Subs' parent company, Restaurant Brands International Inc. (RBI), and its limited partnership, Restaurant Brands International Limited Partnership (RBILP), have audited consolidated financial statements with an unqualified opinion, indicating that their financial position, operations, and cash flows are presented fairly in all material respects. No going concern issues or significant financial health concerns are noted in the auditor's report. RBI maintained effective internal control over financial reporting as of December 31, 2024. A significant event in 2024 was RBI's acquisition of Carrols Restaurant Group Inc., which contributed $1,988 million to RBI's total assets and $1,171 million to total revenues.
Financing Details
Firehouse Subs does not offer any direct or indirect financing to its franchisees. Additionally, the company does not guarantee any notes, leases, or obligations for its franchisees.
Performance Metrics
Total US Locations
1,248
Franchised Units
1,206
Corporate Units
42
Avg Square Footage
1,600
Franchising Since
2004
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Summary
Firehouse Subs has been involved in seven legal matters. Two pending cases, filed in November 2023 and February 2025, involve a plaintiff seeking to cancel certain Firehouse Subs trademarks due to alleged fraud and violation of publicity rights. Firehouse Subs' motion to dismiss in the first case was granted but is now on appeal. Another pending class action lawsuit, filed in April 2024 against Firehouse Subs' parent company, Restaurant Brands International Inc. (not Firehouse Subs itself), involves claims related to a Tim Hortons mobile app promotion. Additionally, a class action lawsuit filed in September 2020 against Restaurant Brands International Inc. and its affiliates, but not Firehouse Subs directly, involves claims of breach of contract and fraudulent misrepresentation concerning inventory for Tim Hortons franchisees. Another class action lawsuit, filed in October 2024, alleges breach of fiduciary duty and unjust enrichment by Restaurant Brands International Inc. in connection with an acquisition. A separate class action from March 2019 against Burger King's parent company, Burger King Worldwide, Inc., alleges antitrust violations due to no-solicitation clauses in franchise agreements; this case was initially dismissed but has been remanded for further proceedings. One concluded arbitration from March 2021, involving Popeyes affiliates of Firehouse Subs, concerned a master franchise agreement, which was settled confidentially in June 2022. Firehouse Subs states that no other litigation is required to be disclosed.
Bankruptcy History
Firehouse Subs has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their Firehouse Subs franchise, franchisees must provide written notice between 6 and 12 months before the initial term ends. They need to be in good standing, with all monetary obligations satisfied and no pending litigation against Firehouse Subs. Franchisees must also comply with their existing franchise agreement, including a reimaging plan, and meet the current financial ratios used for new franchisees. They will need to execute a general release of claims against Firehouse Subs and its affiliates, complete renovations to meet current brand standards within three years before renewal, and sign Firehouse Subs' then-current franchise agreement, which may include different ownership requirements or higher royalty and system fund contributions.
Training & Support Program
Franchisor Assistance
Firehouse Subs provides extensive assistance to its franchisees. Before opening, Firehouse Subs helps with site approval, furnishes approved construction plans and specifications, and identifies required equipment and suppliers. They also provide initial training for the franchisee, a Managing Owner, and additional employees at the franchisee's cost. Qualified franchisees may also receive a cash contribution through Development Incentive Programs. Ongoing assistance includes advisory support through in-person, electronic, or written bulletins, continued access to the Operations Manual, and mandatory periodic refresher training. Firehouse Subs also manages a System Fund for system-wide marketing and advertising campaigns, and franchisees must join and participate in the Firehouse Subs Co-op to advise on advertising strategies. Additionally, Firehouse Subs uses a Market Introduction Fee to promote new restaurants.
Initial Training Hours
368
Training Location
Certified training Firehouse Subs restaurant, virtual sessions, or in-person at Firehouse Subs' office in Jacksonville, Florida or select cities.
Ongoing Support
After opening, Firehouse Subs franchisees receive continuing advisory assistance through in-person support or electronic/written bulletins. They maintain access to the Operations Manual, which is regularly updated. Franchisees and their Managing Owners are required to attend periodic refresher training courses, for which Firehouse Subs may charge fees. The company continuously works to maintain high and uniform standards across all Firehouse Subs Restaurants. Franchisees must contribute to and participate in the System Fund for system-wide marketing and advertising, and join the Firehouse Subs Market Fund (Co-op) to advise on these efforts. Additionally, Firehouse Subs mandates the use of specific technology, including POS and BOH systems, and a managed firewall for PCI/DSS compliance.
Franchise Requirements
Ideal Candidate Profile
Firehouse Subs is looking for individuals who are willing to undertake the investment and effort to establish and operate a FIREHOUSE SUBS® Restaurant, meeting specific operational, financial, credit, and legal criteria. Each franchisee must designate a Managing Owner who is approved by Firehouse Subs, holds at least a 10% legal or beneficial ownership interest (or right to 10% or more operating profits), and resides within a reasonable driving distance of the restaurant. This Managing Owner must commit full-time and best efforts to supervising the restaurant's daily operations, ensuring compliance with brand standards and financial performance. They must not engage in any other business requiring substantial management responsibility and are required to complete the initial training program to Firehouse Subs' satisfaction.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
retail
Owner Participation
full-time
Territory Type
protected
Territory Size Requirements
Firehouse Subs grants a protected territory (called a 'Trade Area') to franchisees, typically consisting of the restaurant site and the geographic area within a 1-mile radius around that site. However, the exact size of the Trade Area may vary under special circumstances. This protected status does not apply to non-traditional locations such as shopping malls, airports, or hospitals, where Firehouse Subs retains the right to operate or franchise other restaurants.
Staffing Notes
Firehouse Subs requires its franchisees to designate a Managing Owner who dedicates full-time efforts to supervising the restaurant's operations. The Managing Owner must maintain full control over daily activities, including operational and financial performance, and ensure compliance with the operations manual. Franchisees are solely responsible for recruiting, hiring, training, compensating, and managing all restaurant employees, as well as for complying with all applicable employment and workplace-related laws. Firehouse Subs may require the replacement of any manager deemed unqualified and expects the franchisee to ensure all employees are fully trained for their duties.