Franchise Deep Dive: Capriotti's Sandwich Shop's Franchise Costs, Fees, Profit and Data

LAST UPDATED: August 1, 2023
FRANCHISE WEBSITE: https://www.ownacapriottis.com/
NUMBER OF LOCATIONS: 175+
REPORTED COST TO GET IN: $417,100 to $748,500
REPORTED ROI (Item 19): $1,076,011 (Average Unit Volume for all restaurants open during 2021)

Capriotti’s Sandwich Shop is a fast-casual restaurant franchise that offers a wide variety of subs, salads and sides. The franchise was founded in 1976 by brother and sister Alan and Lois Margolet, and was named after their grandfather, Philip Capriotti. The first Capriotti’s Sandwich Shop was opened in the Little Italy neighborhood in Wilmington, Delaware.

In the nearly 50 years since Capriotti’s opened its doors, the brand has become a well-known franchise brand and in 2022 was named one of Newsweek’s “Favorite Restaurant Chains” in America. That same year, the franchise was also placed on Inc. Magazine’s List of “America’s Fastest-Growing Companies.” 

How Many Capriotti's Sandwich Shop Locations Are There?

As of August 2023, there are more than 175 locations across the country. Capriotti’s Sandwich Shop is seeking to have 500 open locations by the year 2025, and is currently looking to expand in markets such as Atlanta, Chicago, Indianapolis, Los Angeles, Minneapolis, New York City, Tampa, Miami and Salt Lake City.

What Is Capriotti's Sandwich Shop’s Business Model?

The business model of Capriotti’s Sandwich Shop is to offer specialty sandwiches, featuring high-quality ingredients and a diverse menu. But according to the brand itself, Capriotti’s is much more than its menu.

“Known for its unique culture, family-friendly atmosphere, high-quality ingredients, and commitment to delivering outstanding customer service, Capriotti’s has gained a cult-like following,” the brand writes. “If you’re looking for a sound business model with a low investment, high ROI and food you’re always proud to serve, our sandwich franchise is the perfect opportunity for you.”

For prospective franchise owners, the brand provides all the necessary training in order to operate a sandwich shop and does not require its franchisees to have former restaurant experience. The corporate team says it has created uncomplicated systems and operations to make sure every process is easy to follow, which has maximized efficiency and quality customer service.

The brand also claims to be run by owners who initially started out as Capriotti’s franchisees. As such, the corporate team is committed to the brand, its quality and the success of its franchise partners.

How Much Can Capriotti's Sandwich Shop Franchise Owners Make?

As of December 2021, Capriotti’s saw over $108 million in system-wide sales. The brand says its top 25% of owners saw an average of nearly $1.3 million in annual sales. The average unit volume for all affiliated restaurants open during all of 2021 was $1,076,011.

How Much Does It Cost to Open a Capriotti's Sandwich Shop Franchise?

The total investment necessary to begin the operation of a Capriotti’s Sandwich Shop franchise ranges from $417,100 to $748,500.

The initial investment is broken down into the following costs:  

• Franchise Fee: $40,000
• Development Service Fee: $10,000
• Architectural/Engineering Fees and Project Management: $15,000 to $32,500
• Professional Services: $2,000 to $8,000
• Permits and Licensing: $3,000 to $17,000
• Security Deposits: $3,100 to $15,000
• Leasehold Improvements: $142,000 to $290,000
• Furniture, Fixtures, Equipment and Small wares: $100,000 to $175,000
• Interior Décor: $4,000 to $13,000
• Exterior Signage: $5,000 to $21,000
• Menu Boards: $800 to $2,000
• POS System: $6,200 to $20,000
• Training: $15,000
• Opening Inventory: $7,000 to $15,000
• Shop Launch Marketing Plan: $30,000
• Pre-Opening Mock Operations; $3,000
• Insurance (Three Months): $1,000 to $2,000
• Additional Funds (Three Months): $30,000 to $40,000

What Is the Franchise Fee for a Capriotti's Sandwich Shop?

The franchise fee required to open a Capriotti’s Sandwich Shop is $40K. Interested parties must also have at least $150K liquid capital.

Who’s On Capriotti's Sandwich Shop’s Leadership Team?

• Ashley Morris — CEO
• Jason Smylie — President
• David Bloom — Chief Operations and Development Officer
• Brent Erwin — Chief Financial Officer
• Jane McPherson — Senior Vice President of Marketing
• Scott Wessel — Chief Technology Officer
• Michael Meche — Chief Restaurant Officer
• George Chanos — Chairman of the Board

What Helpful Articles Can I Read to Learn More About Capriotti's Sandwich Shop?

• Capriotti’s Sandwich Shop Acquires Wing Zone
• Capriotti’s Continues Expansion into Sunshine State with 15-Unit Tampa-Area Agreement
• 2022 Capriotti’s Record Breaking Growth
• Capriotti’s Sandwich Shop and Wing Zone add new executives
• Capriotti’s Sandwich Shop and Wing Zone Experience Positive Momentum Throughout Q1

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