Quiznos Franchise Cost, Revenue & Review 2026
- Investment
- $214K – $649K
- Disclosed sales
- partial, no system average
- SBA charge-off
- 28.1%
- on 2,220 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Quiznos is a quick-service franchise known for its toasted submarine sandwiches. Franchisees run shops managing made-to-order subs, counter service, and staffing.
FranchiseVerdict summary · 2026
A Quiznos franchise requires a total initial investment of $214K – $649K, including a $5K franchise fee and an ongoing 5.0% royalty[2]. The 2025 FDD on file does not yield a unit-revenue figure we can publish. SBA 7(a) loans show a 28.1% charge-off rate across 2,220 loans[1]. FranchiseVerdict grade: F (Weakest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored6 of 6 headline figures on this page cite a page of the filing.
Overview
- Investment
- $214K – $649K
- 27th pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 5.0%
- 12th pct Service Resta…
- Units
- 152
- 80th pct Service Resta…
- SBA charge-off
- 28.1%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants median · 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 $214K – $649K including a $5K franchise fee, 5.0% ongoing royalty.
- RETURNSItem 19 reports outlet revenue, but not in a form that yields a per-outlet average we can compare across brands.
- RISKVerdict F (Weakest tier), verdict score 16/100 (higher is better). SBA loan charge-off rate of 28.1% across 2220 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHNegative: net -3 franchised outlets in the latest year (7 opened, 7 closed); 3 signed but not yet open (Item 20).
- FLAGAuditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Quiz Holdings, LLC
- Parent company
- Quiz Franchisor, LLC (immediate parent); REGO Intermediate Holding Company, LLC; REGO Restaurant Holdings, LLC; REGO Restaurant Holdings IV, LLC; Super REGO, LLC; High Bluff Capital Partners, LLC
- FDD Item 1, page 9 of the 2025 FDD
- Ultimate parent
- REGO Restaurant Holdings, LLC / High Bluff Capital Partners, LLC
- FDD Item 1, page 9 of the 2025 FDD
- Predecessor
- QFA Royalties LLC (offered QUIZNOS franchises March 2008-June 2018); original predecessors began franchising QUIZNOS in 1991
- Prior franchisor entity
- CEO title
- Chief Executive Officer
- Neel Mahendra Patel
- Incorporated in
- Delaware
- HQ
- 4700 S. Syracuse St., Suite 225, Denver, Colorado 80237
- Auditor
- Ernst & Young LLP
- Audited financials
- Franchisor revenue
- $32.3M
- vs $39.2M prior year
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Overview
About
- CEO
- Neel Mahendra Patel
- Headquarters
- CO
- FDD year
- 2025
- States available
- 34
Can you afford it, and what does the money buy?
Entry cost runs 11% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $5K | $5K |
| Working capital (3–6 mo) | $35K | $40K |
| Equipment, build-out, other | $174K | $604K |
| Total initial investment | $214K | $649K |
Source: Quiznos 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $214K – $649K
- Top 40% of category vs category
- Liquid capital req'd
- $35K – $40K
- Bottom third — review vs category
- Franchise fee
- $5K – $5K
- Top 40% of category vs category
- Royalty
- 5.0%
- typical 6–8%
- Ad fund
- 4.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 4.0% of gross sales |
| Technology fee | $400 |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Inventory (initial) | $3K – $15K |
| Total fee load | 9.0% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Quiznos is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Quiznos unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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 19 type
- gross sales
- Sample size
- 118
- vs category median 19 · large
- Range (low → high)
- $12K→$790KCited, not corroborated — printed on page 47 of the 2025 FDD. Nothing else in our record independently restates or re-derives it.
- Cohort dispersion (min → max)
- 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 781 Quick-Service Restaurants brands
Item 19 · by group
What the filing does disclose
Item 19 of this FDD reports performance in more than one group. We publish no single average for this brand; the groups the filing does disclose are listed below, quoted from its own Item 19 table.
Each row below is quoted from the FDD's own Item 19 table. Gross sales are not profit.
Item 19 detail
traditional franchised
| Segment | Sample | Avg |
|---|---|---|
| Traditional Franchised Restaurants | 95 | $394K |
non traditional franchised
| Segment | Sample | Avg |
|---|---|---|
| Non-Traditional Franchised Restaurants | 23 | $235K |
company owned
| Segment | Sample | Avg |
|---|---|---|
| Non-Traditional Company-Owned Restaurant | 1 | $4.5M |
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 9.0% — above the Quick-Service Restaurants median of 7.5%.
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 -9.0% 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 medians
How Quiznos Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 152
- Opened
- 7
- Last reporting year
- Closed
- 7
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 4
- Term expired, not renewed (per Item 20)
- Turnover rate
- 24.5%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 99%
- vs corporate-owned
- Net growth (3-yr)
- -9.0%
- Net unit change over 3 years
- 3-yr CAGR
- -9.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 4
- Transferred
- 2
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 3
- 0.02 per open outlet · Item 20 Table 5
- Projected new
- 9
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 32 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
112 current owners across 31 states; 9 former (terminated, transferred or not renewed) listed separately.
- CA 12
- TX 11
- FL 10
- WA 10
- OK 6
- IL 5
- LA 5
- CO 4
- IA 4
- NV 4
- TN 4
- AR 3
- +19 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 2,220
- Loan volume
- $331.9M
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- 28.1%
- on 2,220 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 71.9%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 323
- Defaults
- 620
- Typical loan rate
- 6.8%
- avg rate to borrowers
- Franchised industry avg
- 21.5%
- brand above franchise avg ↑
- Jobs supported
- 17,678
- 5.3 per loan
- Lender concentration
- 7%
- top lender's share
Borrower mix: 50% went to startups / new businesses, 50% to established operators
Franchise vs independent — in limited-service restaurants, franchised businesses charge off at 21.5% vs 25.0% for independents — franchising is associated with 14% lower SBA default risk in this category.
Vintage analysis
Quiznos charge-off rate by loan vintage
Shaded area: recent vintages with few resolved loans; rates may change as loans mature.
Top lenders financing Quiznos franchisees
Showing 3 of 323 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Quiznos from SBA 7(a) FOIA data.
- Principal loss rate
- 18.2%
- Avg SBA guarantee
- 77%
- Avg interest rate
- 6.75%
- Avg chargeoff amount
- $98K
- Lender concentration
- 6.8%
- Job velocity
- 5.3 per $100K
- NAICS benchmark
- 15.7%
- NAICS 722211
- Jobs supported
- 17,678
Top SBA lendersTop lender holds 7% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Zions Bank, A Division of | 151 | $20.8M | 33.1% |
| 2 | JPMorgan Chase Bank, National Association | 148 | $20.9M | 13.5% |
| 3 | PNC Bank, National Association | 120 | $17.7M | 31.1% |
| 4 | Readycap Lending, LLC | 116 | $17.7M | 42.2% |
| 5 | Independence Bank | 112 | $16.4M | 52.7% |
| 6 | Wells Fargo Bank National Association | 101 | $13.8M | 26.7% |
| 7 | Stearns Bank National Association | 66 | $9.4M | 16.7% |
| 8 | TD Bank, National Association | 63 | $9.5M | 23.8% |
| 9 | KeyBank National Association | 62 | $9.9M | 27.4% |
| 10 | BMO Bank National Association | 54 | $8.4M | 27.8% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| TXTexas | 304 | 73 | 24.3% |
| CACalifornia | 264 | 67 | 25.6% |
| FLFlorida | 135 | 54 | 40.0% |
| NYNew York | 102 | 35 | 34.7% |
| ILIllinois | 92 | 26 | 28.3% |
| OHOhio | 88 | 23 | 26.1% |
| WAWashington | 86 | 17 | 20.2% |
| PAPennsylvania | 82 | 30 | 36.6% |
| NJNew Jersey | 77 | 19 | 24.7% |
| MOMissouri | 62 | 19 | 30.6% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
A 28.1% charge-off rate means roughly 1 in 4 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
The auditor flagged going-concern doubt (Item 21) — the single biggest risk here.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Serious concerns stacked: going-concern note flagged with negative franchisor net worth of -$3,836,577 and net loss of -$1,578,478. Franchisor equity is deeply negative and the system is shrinking (-9.0% net growth, 24.5% turnover). Predecessor QFA Chapter 11 (2014) is old and low-weight, but current financial distress is genuine.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
No litigation disclosed against the current franchisor. One completed predecessor litigation: Horowitz, et al. v. QFA Royalties LLC, et al. (2014), a putative class-opt-out action alleging fraud, franchise act violations, and RICO-type claims by a former QFA franchisee; stayed during predecessor's bankruptcy, settled via bankruptcy court-approved agreement in 2015 (franchisee received $22,131.44 against a $330,000 unsecured claim), dismissed with prejudice November 30, 2015.
Bankruptcy (Item 4)
Subject: the company or an affiliate. Disclosed (Item 4 covers the last 10 years)
Predecessor QFA and affiliates filed a prepackaged Chapter 11 plan (In re QCE Finance LLC, et al., Case No. 14-10543, D. Del.) on March 14, 2014; plan approved May 12, 2014, effective June 30, 2014, case closed December 15, 2015. No bankruptcy disclosed for the current franchisor.
Audited financials (Item 21)
Yes · Ernst & Young LLP⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 16 / 100 verdict
- 01MINORNegative net worth -$3,836,577
- 02MINORSystem contracting -9.0%, turnover 24.5%
- 03HIGHOld predecessor bankruptcy (2014, closed 2015) - low weight
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 9.0% 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 | 1 |
| Protected territory | No |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 5 |
| Mandatory arbitration | Yes |
| Arbitration location | Within 50 miles of Denver, Colorado (franchisor's principal place of business) |
| Jury trial waiver | Yes |
| Governing law | Colorado |
| Litigation count | 1 |
View Item 3 litigation summary
No litigation disclosed against the current franchisor. One completed predecessor litigation: Horowitz, et al. v. QFA Royalties LLC, et al. (2014), a putative class-opt-out action alleging fraud, franchise act violations, and RICO-type claims by a former QFA franchisee; stayed during predecessor's bankruptcy, settled via bankruptcy court-approved agreement in 2015 (franchisee received $22,131.44 against a $330,000 unsecured claim), dismissed with prejudice November 30, 2015.
Items 10, 11
Training & Operations
- Classroom training
- 60 hrs
- On-the-job training
- 88 hrs
- Ongoing training
- Required
- Site selection
- franchisee, subject to franchisor authorization
- Franchisor financing
- Not offered
- Item 10
- POS system
- authorized point-of-sale system
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: authorized point-of-sale system
Item 20 · call current owners
Franchisee Contacts
121 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Quiznos franchise?
The total investment to open a Quiznos franchise ranges from $214K – $649K, with an initial franchise fee of $5K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Quiznos franchise owners earn?
Item 19 of the Quiznos FDD discloses outlet figures from $12K to $790K but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Quiznos?
Quiznos is franchised by Quiz Holdings, LLC. Its parent company is Quiz Franchisor, LLC (immediate parent); REGO Intermediate Holding Company, LLC; REGO Restaurant Holdings, LLC; REGO Restaurant Holdings IV, LLC; Super REGO, LLC; High Bluff Capital Partners, LLC. The ultimate parent named in the FDD is REGO Restaurant Holdings, LLC / High Bluff Capital Partners, LLC. Source: FDD Item 1, 2025 filing.
What is Item 19 in the Quiznos 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 Quiznos FDD and qualifies whose outlets they describe.
What is Quiznos's franchise failure rate?
Based on SBA 7(a) loan data, Quiznos has a charge-off rate of 28.1% across 2,220 loans, meaning 28.1% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Quiznos franchise locations are there?
As of their most recent FDD filing, Quiznos has 152 total units in the United States, including 151 franchised units and 1 company-owned units. 7 new units were opened in the latest reporting year.
Is Quiznos a good franchise to buy?
FranchiseVerdict rates Quiznos as a F-grade franchise with a verdict score of 16 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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
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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.