Erbert & Gerbert's Sandwich Shop Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Erbert & Gerbert's is a fast-casual franchise serving made-to-order sub sandwiches, wraps, and soups. Franchisees run the shops, managing food prep, staffing, and counter, delivery, and non-traditional venue service.
FranchiseVerdict summary · 2026
A Erbert & Gerbert's Sandwich Shop franchise requires a total initial investment of $194K – $460K, including a $5K – $30K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $194K – $460K
- 22nd pct Service Resta…
- Avg gross sales
- N/A
- Outlet subset
- Royalty
- 6.0%
- 46th pct Service Resta…
- Units
- 60
- 69th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $194K – $460K including a $30K franchise fee, 6.0% ongoing royalty.
- RETURNSItem 21 states audited financial statements for FY ending December 31, 2024, 2023, and 2022 are attached as Exhibit A; the statement figures and auditor/CPA firm name are not present in the available text extract.
- RISKVerdict C (Average), verdict score 41/100 (higher is better).
- DECLINESystem contracting at -13.8% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- E & G Franchise Systems, Inc.
- CEO title
- President and Chief Executive Officer
- Eric Wolfe
- Incorporated in
- WI
- HQ
- E3110 Hailey Lane, Eau Claire, Wisconsin 54701
- Auditor
- Bauman Associates
- Audited financials
- Franchisor revenue
- $3.9M
- vs $4.1M prior year
Overview
About
- CEO
- Eric Wolfe
- Headquarters
- WI
- Founded
- 1988
- FDD year
- 2025
- States available
- 9
Can you afford it, and what does the money buy?
Entry cost runs 50% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $30K | $30K | |
| Leasehold Improvementsnot refundable | $50K | $145K | |
| Lease Payment and Security Depositnot refundable | $4K | $14K | |
| Travel and Living Expenses for You and Your Manager During Trainingnot refundable | $2K | $4K | |
| Insurance Premiums - 3 Monthsnot refundable | $2K | $4K | |
| Opening Inventory of Supplies, Food and Beveragesnot refundable | $3K | $10K | |
| Uniforms, Small Wares, Office Supplies, Menus and Other Printed Materialsnot refundable | $6K | $8K | |
| Exterior Signage and Interior Decornot refundable | $10K | $18K | |
| Furniture, Fixtures and Equipmentnot refundable | $40K | $150K | |
| Computer Systemsnot refundable | $9K | $11K | |
| Professional Servicesnot refundable | $3K | $5K | |
| Architectural/Design Servicesnot refundable | $9K | $17K | |
| Miscellaneous Licenses, Deposits and Permitsnot refundable | $3K | $5K | |
| Grand Opening Advertising and Promotionnot refundable | $10K | $10K | |
| Additional Funds - 3 Monthsnot refundable | $15K | $30K | |
| Total initial investment | $194K | $460K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $194K – $460K
- Top 40% of category vs category
- Liquid capital req'd
- $15K – $30K
- Top 40% of category vs category
- Franchise fee
- $5K – $30K
- Top 40% of category vs category
- Royalty
- 6.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $100 |
| Training fee | $2K |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Inventory (initial) | $3K – $10K |
| Total fee load | 8.0% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Erbert & Gerbert's Sandwich Shop did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Erbert & Gerbert's Sandwich Shop unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
30%
Within the 30–60% "attractive franchise" band
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
Item 21 states audited financial statements for FY ending December 31, 2024, 2023, and 2022 are attached as Exhibit A; the statement figures and auditor/CPA firm name are not present in the available text extract.
Reported for a subset of outlets rather than the whole system
- Item 19 type
- revenue
- Sample size
- 38 outlets
- vs category median 20
- Range (low → high)
- $118K→$1.8M
- Cohort dispersion (min → max)
- Transparency tier
- full
- Categorical assessment of disclosure depth
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 782 Quick-Service Restaurants brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% (near the Quick-Service Restaurants average).
Disclosure
Item 19 reports outlet revenue, but not in a form that yields a per-outlet average we can compare across brands.
Operator retention
System contracting at -13.8% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants averages
How Erbert & Gerbert's Sandwich Shop Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 60
- Opened
- 10
- Last reporting year
- Closed
- 10
- Turnover rate
- 42.9%
- Company-owned
- 4
- Corporate units in the system
- % franchised
- 93%
- vs corporate-owned
- Net growth (3-yr)
- -13.8%
- Net unit change over 3 years
- 3-yr CAGR
- -13.8%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 15
- Closed (3yr)
- 21
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 3
- Transfers (3yr)
- 18
- Reacquired (3yr)
- 0
- Franchisor bought back
- Termination rate
- 5.4%
- Franchisor-initiated terminations
- Ceased ops
- 7.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 9 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
9
states with franchisees (per FDD Item 12)
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Declining franchise system with unresolved litigation history, missing profitability disclosure, and unclear financial viability creates meaningful investment risk requiring deep franchisee validation.
Litigation (Item 3)
Two disclosed cases: (1) Keepin' It Food LLC arbitration (2019) alleging misrepresentation, settled 2022 with franchisor paying $50,000; (2) E&G v. Janik Group (2018) for post-termination non-competition violations, settled 2019 with franchisor purchasing territory for $77,500.
Largest disclosed settlement: $77,500
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Bauman Associates
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 41 / 100 verdict
- 01MINORUnit count declining 6.7% YoY (60 units) indicates system contraction and potential market saturation or franchisee dissatisfaction
- 02MINORNo average net income disclosure in FDD (Item 19) prevents accurate ROI validation against $39.5K-$460K investment range
- 03HIGHTwo litigation settlements ($50K + $77.5K) within 4 years suggest franchise relationship management issues and location/territory disputes
- 04MEDHigh investment ceiling ($460K) combined with undisclosed profitability creates significant downside risk for multi-unit operators
- 05HIGHGoing concern status 'False' is ambiguous—unclear if franchisor or franchisees face financial viability concerns
- 06MINOR6% royalty on $617K average revenue ($37K/year) is substantial without knowing actual net margins or whether breakeven is achievable
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Eau Claire, Wisconsin |
| Jury trial waiver | No |
| Governing law | WI |
| Litigation count | 2 |
View Item 3 litigation summary
Two disclosed cases: (1) Keepin' It Food LLC arbitration (2019) alleging misrepresentation, settled 2022 with franchisor paying $50,000; (2) E&G v. Janik Group (2018) for post-termination non-competition violations, settled 2019 with franchisor purchasing territory for $77,500.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 153 hrs
- Training location
- West St. Paul, MN or Certified Training Restaurant as designated by franchisor
- Ongoing training
- Required
- Time to open
- 6 mo
- From signing to launch
- Site selection
- franchisee with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- Revel
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Revel
Item 20 · call current owners
Franchisee Contacts
57 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Erbert & Gerbert's Sandwich Shop · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Erbert & Gerbert's Sandwich Shop franchise?
The total investment to open a Erbert & Gerbert's Sandwich Shop franchise ranges from $194K – $460K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Erbert & Gerbert's Sandwich Shop franchise owners earn?
Erbert & Gerbert's Sandwich Shop does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the Erbert & Gerbert's Sandwich Shop FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Erbert & Gerbert's Sandwich Shop FDD and qualifies whose outlets they describe.
What is Erbert & Gerbert's Sandwich Shop's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Erbert & Gerbert's Sandwich Shop (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Erbert & Gerbert's Sandwich Shop franchise locations are there?
As of their most recent FDD filing, Erbert & Gerbert's Sandwich Shop has 60 total units in the United States, including 56 franchised units and 4 company-owned units. 10 new units were opened in the latest reporting year.
Is Erbert & Gerbert's Sandwich Shop a good franchise to buy?
FranchiseVerdict rates Erbert & Gerbert's Sandwich Shop as a C-grade franchise with a verdict score of 41 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.