QFA Royalties LLC
4700 S. Syracuse St., Suite 640 Denver, Colorado 80237
QFA Royalties LLC was formed as a Delaware limited liability company on October 28, 2004. Their principal business address is 7595 Technology Way, Suite 200, Denver, Colorado 80237.
We offer franchises to individuals or entities (“Franchisees”) for restaurants that sell submarine and other sandwiches, salads, other food products and beverages, and related services (“QUIZNOS Restaurants” or “Restaurants”) under the form of Franchise Agreement attached as Exhibit B (the “Franchise Agreement”). Restaurants are licensed to use the service mark “QUIZNOS” and related trademarks (“Marks”) and other QUIZNOS IP owned by Parent that make up the QUIZNOS marketing plan and proprietary business methods (collectively, “System”), all of which have been sublicensed to us for our franchise program. We refer to each QUIZNOS Restaurant as a “traditional” QUIZNOS Restaurant (“Traditional Restaurant”), unless it is located in a non-traditional facility (see below). If your QUIZNOS Restaurant is located in a non-traditional facility (like a hotel, airport, university or stadium), it will be referred to as a “Non-Traditional Restaurant.” If you sign a Franchise Agreement for a Non-Traditional Restaurant, you will sign (in addition to our standard Franchise Agreement) the addendum attached as Exhibit F (“Non-Traditional Restaurant Addendum”). If your QUIZNOS Restaurant is located within or adjacent to a convenience store or gas station, it will be referred to as a “Convenience Restaurant.” You will sign the Franchise Agreement for Convenience Restaurants attached as Exhibit C (“Convenience Franchise Agreement”). Unless otherwise specified, all references to Franchise Agreement in this Disclosure Document will include the Convenience Franchise Agreement. If you wish, by purchasing certain assets from a former Franchisee, to reopen a QUIZNOS Restaurant at a specific site that is currently closed (a “Reopen Restaurant”), you will sign (in addition to the Franchise Agreement) the addendum attached as Exhibit G (the “Reopen Addendum”). Since we typically only reopen Traditional Restaurants that are currently closed, all references in this Disclosure Document to a Reopen Restaurant refer to a Traditional Restaurant that is being reopened. Unless otherwise indicated, all references to a Traditional Restaurant in this Disclosure Document will include a Reopen Restaurant. We also grant qualified, new and existing Franchisees the right to participate in our Growth Incentive Program (the “Incentive Program”). If you qualify, and participate in the Incentive Program, you must sign a Franchise Agreement as well as the Growth Incentive Program Rider attached as Exhibit E (the “Incentive Program Rider”). Under the Incentive Program, depending on the type of Restaurant you will be operating, you may be entitled to receive certain royalty and initial franchise fee reduction incentives for that Restaurant. (See Item 5 and Item 6.) Not all Franchisees will meet our Incentive Program criteria, and not all Restaurants will be qualified for this program, and we have no obligation to provide the Incentive Program to any Franchisee and may discontinue the Incentive Program at any time.
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Franchimp Summary Rating
7/10
Investment Accessibility
7/10
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Upfront Franchise Fees
Minimum: $33,000 Maximum: $35,000
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $220,600 Maximum: $611,000
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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