How much does a PrimoHoagies franchise cost?
PrimoHoagies Franchising, LLC estimates $366,240 to $652,496 to open one PrimoHoagies Restaurant under the 2026 Franchise Agreement. The estimate applies to the standard commercial-location restaurant described in the FDD, typically 1,000 to 1,200 square feet. Separate ranges apply to a three-restaurant or five-restaurant Multi-Unit Option Agreement.
This total includes the $25,000 Initial Franchise Fee, premises and construction costs, Furniture, Fixtures and Equipment, Opening Inventory, Grand Opening Advertising, training travel and $20,000 to $40,000 of Additional Funds for the first three months. It does not estimate the purchase price of real estate or the owner's living expenses. Source: 2026 FDD, pp. 11–14.
Legal franchisor: PrimoHoagies Franchising, LLC. Document: Franchise Disclosure Document issued April 30, 2026. Formats analyzed: one PrimoHoagies Restaurant, a three-restaurant Multi-Unit Option Agreement and a five-restaurant Multi-Unit Option Agreement. FDD sections: Items 5, 6 and 7, with cost-relevant details from Items 8, 10, 11 and 17 and the attached Franchise Agreement. Information checked: July 13, 2026.
The FDD citations are unlinked because no matching current FDD copy was verified on a franchise-controlled public website. Brand identity and current franchise information can be checked on the official PrimoHoagies franchise website and the official PrimoHoagies brand website.
What is included in the single-restaurant estimate?
The disclosed range combines contractual payments to PrimoHoagies Franchising, LLC with third-party premises, construction, equipment, inventory, insurance and working-capital estimates. The $25,000 Initial Franchise Fee is fixed; nearly every other line is approximate and can vary by site condition, local requirements and supplier pricing.
Premises, design and build-out
Premises-related costs account for the broadest uncertainty because the disclosure does not estimate the purchase of real estate and warns that local construction conditions can exceed the stated range.
| Item 7 category | Disclosed range | Payment timing | FDD page |
|---|---|---|---|
| Lease Deposits, First Month’s Rent | $3,468–$10,402 | At lease signing | pp. 11, 13 |
| Architectural Plans and Design | $5,000–$13,500 | Before construction, as incurred | pp. 11, 13 |
| Leasehold Improvements, Permits, Designs, Painting | $113,000–$289,200 | During construction, beginning about 90 days before opening | pp. 11, 13 |
| Signage | $5,000–$15,520 | 60 days before opening | p. 12 |
Equipment, inventory and opening promotion
The disclosure requires new equipment from Approved Suppliers and an Opening Inventory purchase from Nellie’s Provisions, LLC or other approved vendors. A conversion may reduce some equipment needs when the buyer already owns compliant assets, but the FDD says newly acquired pre-owned or used equipment is not permitted.
| Item 7 category | Disclosed range | Payment timing | FDD page |
|---|---|---|---|
| Furniture, Fixtures, Equipment | $142,145–$171,422 | 30 days before opening | pp. 11–12 |
| Inventory | $31,099–$40,000 | One day before opening | pp. 11, 12–13 |
| Grand Opening Advertising | $15,000 | At least 60 days before opening | Item 5 p. 6; Item 7 pp. 11, 13 |
| Printing/Supplies | $3,000–$3,500 | 30 days before opening | pp. 11, 13 |
Professional, training and operating reserves
The remaining categories cover professional advice, insurance and permits, travel for two trainees, and three months of Additional Funds. Additional Funds are part of the overall startup total, not an amount to add again.
| Item 7 category | Disclosed range | What it covers | FDD page |
|---|---|---|---|
| Professional Fees | $0–$5,000 | As needed during the opening process | p. 11 |
| Insurance, Licenses and Utility Deposits | $4,528–$17,452 | Initial insurance period, licenses and deposits | pp. 12–13 |
| Travel, Lodging and Meal Expenses During Training | $500–$7,000 | Two people for approximately 15 days | pp. 12–13 |
| Additional Funds (3 months) | $20,000–$40,000 | Rent, utilities, payroll, inventory, supplies, debt service, professional expenses and working capital | pp. 12, 13–14 |
The budget should therefore be read in two layers. The first layer is made up of scheduled contractual payments and required opening purchases, which are easier to place on a cash calendar. The second layer consists of site-dependent third-party bills, where the actual lease, drawings, code requirements and contractor scope determine the amount. A buyer can compare the first layer directly with the disclosure, but the second layer requires signed proposals for the selected premises. That distinction matters because a location can remain inside the overall range while individual categories move in opposite directions.
The disclosed estimate does not quantify the purchase price of the premises. It also says the buyer should maintain funds for personal living expenses in addition to the operating reserve included for the restaurant's first three months.
Which PrimoHoagies cost categories create the widest variation?
Leasehold Improvements, Permits, Designs and Painting create the largest disclosed spread in the single-restaurant estimate. Furniture, Fixtures and Equipment has the next-largest dollar level, but a much narrower low-to-high range.
Each line runs from the disclosed low amount to the disclosed high amount on the same $0 to $300,000 scale.
A prospective franchisee should not treat the $652,496 upper bound as a construction ceiling. Item 7 specifically says expansion into higher-cost markets may produce Leasehold Improvements above the disclosed range.
When is the initial investment paid?
The disclosure does not require the entire single-unit range on one date. Cash is committed in stages from contract signing through the first three months of operation, with the largest construction and equipment payments concentrated before opening.
Pay the Initial Franchise Fee. A multi-unit buyer instead pays the applicable option fee when executing the option contract and the first unit agreement.
Lease deposits and the first month's rent are due when the lease is signed. Architectural and engineering work is paid as incurred before construction.
Build-out, permits, design coordination and painting are paid during construction, which the table places roughly three months before opening.
The grand-opening campaign and signage become due. A buyer assuming an existing restaurant receives the lower campaign amount disclosed in Item 5.
Equipment and printed supplies are due first, followed by insurance, licenses and utility deposits. Opening stock is scheduled for payment immediately before the opening date.
The included operating reserve is used as costs arise for occupancy, payroll, replenishment stock, utilities, supplies, debt service and professional needs.
This sequence creates a practical liquidity issue: financing that closes after major deposits or supplier deadlines may not cover the earliest checks. The buyer should map every due date against lease contingencies, lender disbursement conditions and the opening schedule. Delays do not necessarily postpone every payment, and the contract may still impose deadlines for finding a site and commencing operations. A cash plan should therefore show both the amount committed and the earliest date on which each payee can require it.
Source: 2026 FDD, Items 5 and 7, pp. 5–6 and 11–14.
How do PrimoHoagies multi-unit commitments change the capital requirement?
The disclosure publishes full totals only for a three-restaurant option and a five-restaurant option. Those totals include the Multi-Unit Fee and the initial investment for the first PrimoHoagies Restaurant, but they exclude the later costs of opening the remaining restaurants in the Development Schedule.
What the disclosed multi-unit totals actually cover
The single-unit range covers one opening, while each multi-unit range combines an option fee with only the first restaurant's startup budget.
Source: 2026 FDD, Item 7, pp. 14–15.
Multi-Unit Fee schedule
Item 5 sets a declining per-restaurant option price as the commitment grows, but it does not publish a complete Item 7 total for every available commitment size.
| Option commitment | Fee per restaurant | Total Multi-Unit Fee | Disclosure status |
|---|---|---|---|
| 2 restaurants | $20,000 | $40,000 | No separate full total |
| 3 restaurants | $16,667 | $50,000 | Full total disclosed |
| 4 restaurants | $16,667 | $66,668 | No separate full total |
| 5 restaurants | $15,000 | $75,000 | Full total disclosed |
| 6–9 restaurants | $15,000 | Commitment × $15,000 | No separate full total |
| 10+ restaurants | $10,000 | Commitment × $10,000 | No separate full total |
For each unit opened under a qualifying option, the disclosed Royalty Fee rises from 2% of Gross Sales in Year 1 to the standard 6% in Year 4 and later.
The option fee purchases development rights rather than completed restaurants. This makes the first commitment only one part of the capital plan. Later sites may open under updated forms and current supplier specifications, so the first-location budget should not be copied mechanically across the schedule. A multi-unit buyer needs separate funding assumptions for each lease, construction period and opening reserve, plus enough flexibility for overlapping projects if two sites are being developed at the same time.
The three-restaurant and five-restaurant totals should not be read as the capital needed to open all committed restaurants. Each later location requires a then-current contract and a separate premises, build-out, equipment, inventory, opening and working-capital budget.
Which fees continue after a PrimoHoagies Restaurant opens?
The standard continuing charges include a 6% Royalty Fee and a 3% PrimoHoagies Brand Fund Contribution, each based on Gross Sales and paid weekly. The franchisee also carries a local marketing requirement and a third-party Software Service Contract.
| Continuing obligation | Amount or basis | Timing | FDD page |
|---|---|---|---|
| Royalty Fee | 6% of Gross Sales | Wednesday for the prior Monday–Sunday period | Item 6, pp. 7, 9 |
| PrimoHoagies Brand Fund Contribution | 3% of Gross Sales | Wednesday for the prior Monday–Sunday period | Item 6, pp. 7, 9 |
| Local Marketing, Advertising and Promotion | Greater of 1% of Gross Sales or $9,000 per year | Monthly or as directed | Item 6 table, p. 7; Item 11, p. 23; Franchise Agreement §12.2 |
| Software Service Contract | $4,895–$6,995 per year | 12 monthly payments to Approved Supplier | Item 6, pp. 8, 10 |
The continuing charges also use different payment mechanics. Percentage assessments move with the stated sales base and are collected frequently, while the technology contract is a fixed annual range paid monthly. Local promotion is an expenditure obligation rather than a payment that is always remitted to the franchisor. Keeping those mechanics separate prevents a buyer from treating every continuing cost as one combined percentage or from assuming that the annual technology amount replaces required marketing spending.
The Royalty Fee and PrimoHoagies Brand Fund Contribution apply to revenues generated from the Franchised Business, including delivery and catering, subject to the exclusions stated in Item 6 for good-faith refunds, equipment sales, certain taxes, discounts and approved employee-meal compensation.
The disclosure states the percentage and payment frequency, not a projected annual amount. No sales assumption is used here.
Item 11 requires the Computer System, Required Software, upgrades, substitutions and replacements specified by PrimoHoagies Franchising, LLC, at the franchisee's expense. The disclosure does not cap how often upgrades may be required.
How much of the cost structure is tied to approved suppliers?
PrimoHoagies Franchising, LLC estimates that Required Purchases account for approximately 48% to 66% of establishment costs and 75% to 95% of ongoing operating costs after startup. These percentages describe supplier-controlled purchasing obligations, not a separate fee added to the startup total.
The concentration matters because vendor choice is limited. Price changes, replacement specifications and required service contracts can affect the budget even when the franchisor does not change a stated fee. For due diligence, the useful comparison is not an unrestricted market basket; it is the current approved list, written quotes, freight terms, installation charges, service coverage and the rules for substitutions. The disclosure also says there is no current procedure for approving alternative sources, so a cheaper unapproved item should not be treated as an available saving.
Nellie’s Provisions and the Required Purchases contract
Nellie’s Provisions, LLC is an affiliate and the only Approved Supplier for certain food ingredients and paper goods identified in Item 8. The franchisee must also use designated or Approved Suppliers for items including bread, meats, cheeses, beverages, POS and surveillance systems, architectural plans, equipment, restaurant supplies, signage and uniforms.
Source: 2026 FDD, Items 5, 7 and 8, pp. 5, 11–13 and 16–18.
Which costs can arise after opening or after a specific event?
The disclosure includes transfer, renewal, relocation, additional training, audit, late-payment and default-related obligations. These are not part of the ordinary weekly Royalty Fee, and several depend on a transfer, default, audit finding or approved relocation.
These charges belong in a contingency schedule rather than the opening budget. Some are avoidable through timely reporting and payment; others arise from a planned transaction such as a sale, move or renewal. The open-ended items are especially important because the stated fee may be only one part of the cash impact. A relocation can require an entirely new premises budget, and a renewal or transfer can require physical updates before approval. The buyer should therefore record the trigger, the fixed charge, any uncapped reimbursement language and the party responsible for outside expenses.
Greater of $12,500 or 5% of the sale price, capped at $20,000. For a Multi-Unit Option Agreement transfer, the formula applies per undeveloped Franchised Business. An incoming buyer also pays a $10,000 Grand Opening Advertising Fee under the transfer conditions.
$7,500 under Item 6 and Franchise Agreement §2.2.9, including mandatory renewal training for the approved manager. Renewal also requires renovation, updating, remodeling and refurbishment to current System standards, for which the FDD gives no dollar cap.
$5,000 plus the expenses incurred by PrimoHoagies Franchising, LLC as a result of the approved relocation, in addition to the franchisee's own site and build-out costs.
$350 per additional person per day, plus transportation, lodging, meals and wages. The first two people in the Initial Training Program do not carry a separate training fee.
Interest of 1.5% per month, subject to the legal maximum, plus a late fee equal to 10% of the overdue amount. A late or dishonored payment may also generate a $50 Administrative/Late Fee.
Underpaid amounts, interest and late fees become due. If an audit finds a 2% or greater understatement, the franchisee must also pay the franchisor's audit-related costs and expenses.
Liquidated Damages use the average monthly Royalty Fee and PrimoHoagies Brand Fund fee for the preceding 12 months, multiplied by the lesser of 36 months or the months remaining in the Franchise Agreement term.
Source: 2026 FDD, Item 6, pp. 7–11; Item 17, pp. 40–42; attached Franchise Agreement §2.2.9.
Does PrimoHoagies disclose a liquid-capital, net-worth or financing requirement?
The verified disclosure does not state a numerical Liquid Capital, Net Worth or Non-Borrowed Funds threshold for the standard restaurant or multi-unit commitment. The startup table instead says buyers should have adequate operating capital and separate funds for living expenses, while Item 10 states that the franchisor offers no direct or indirect financing and does not guarantee a note, lease or other obligation.
Do not substitute the total shown at the top of this article for a liquidity requirement. A lender or the franchisor may apply separate underwriting criteria that are not quantified in the disclosure. Any current application criteria should be compared with the official franchise information and the final disclosure package.
The absence of a published threshold is not a statement that the disclosed total can be financed with minimal cash. The contract still requires payments before opening, and lenders may exclude some soft costs or require borrower equity. Personal living expenses are also outside the operating reserve. The relevant capital test is therefore whether committed cash, approved loan proceeds and contingency funds are available when the payment calendar requires them, not whether one headline amount has been matched on paper.
Because PrimoHoagies Franchising, LLC discloses no franchisor financing, outside funding remains separate from the franchise offer. The U.S. Small Business Administration loan-program information describes government-backed lending options, but it does not imply approval or brand eligibility for a particular applicant.
Which figures in the current disclosure should be confirmed before signing?
Two internal summary discrepancies deserve written clarification, although the Item 6 table, Item 11 and attached contract provide a consistent amount in each case.
A summary-table error can affect a lender model, a closing statement or the amount reserved for a later event. The safest approach is to use the amount repeated in the detailed fee table and attached contract while requesting a written correction from the seller. The executed documents and any state addendum should then be checked again at closing. This avoids relying on a favorable typo and creates a clear record of which amount the parties expect to govern.
Item 6's fee table, Item 11 and Franchise Agreement §12.2 state the greater of 1% of Gross Sales or $9,000 per year. The narrative Note 2 below the Item 6 table says $8,000 per year. The attached contract supports $9,000, but the discrepancy should be corrected or confirmed in writing.
Item 6 and Franchise Agreement §2.2.9 state $7,500. The Item 17 summary table states $5,000. The attached contract supports $7,500, but the buyer should confirm the operative renewal amount and any state-specific amendment.
Obtain actual landlord, architect, contractor, utility, insurer and Approved Supplier proposals. The startup table expressly warns that local conditions and higher-cost markets can produce costs beyond the disclosed range.
Request a location-by-location capital schedule. The disclosed three-restaurant and five-restaurant totals fund the option rights and first restaurant only, not every restaurant in the Development Schedule.
What is the practical PrimoHoagies cost takeaway?
For one standard location, the verified contractual estimate is the single-unit range stated at the beginning of this article. The largest uncertainty is the approved site and its Leasehold Improvements; the most important timing pressure is that significant advertising, signage, equipment, insurance and inventory payments fall due before opening. A multi-unit commitment increases the initial option payment but does not pre-fund every later location. After opening, the standard 6% Royalty Fee, 3% PrimoHoagies Brand Fund Contribution, local marketing requirement, Software Service Contract and Required Purchases continue independently of the startup range.
A complete funding plan should therefore separate contract payments, landlord and construction commitments, supplier invoices, pre-opening travel, operating reserves and personal reserves. It should also show which amounts are fixed, which are ranges and which remain uncapped. That structure makes it easier to test whether cash is available on the required date and to update the model when the actual site, lease and vendor proposals are known.