WhereIsAtlas · Food

Quiznos

The toasted-sub chain that briefly rivaled Subway — then collapsed amid franchise discontent

Transformed — Quiznos made its name with toasted subs and grew into a major fast-casual franchise by the 2000s. But franchisee discontent, heavy fees and competition from Subway led to a Chapter 11 filing in 2014. The chain shrank dramatically and was sold.

Quiznos began in 1981 and built its reputation on a simple differentiator: toasted sandwiches. Its warm, toasty subs were distinct from the cold sandwiches of rival Subway, and by the 2000s Quiznos had grown into a large national franchise with thousands of locations.

The chain's rapid growth was propelled by aggressive franchise sales. But the franchise model carried serious strains: store owners often struggled with high fees, expensive delivery systems and thin margins, while Quiznos kept opening new locations. As the economy tightened and Subway — with lower costs and more locations — kept its dominance, many Quiznos stores closed.

In 2014, Quiznos filed for Chapter 11 bankruptcy. It restructured, was sold, and shrank from thousands of stores to a fraction of that number. The brand survives but is far smaller than the chain that once seemed poised to take on Subway.

Quick facts

Founded
1981, Denver, CO
Signature
Toasted subs
Growth
A large national franchise by the 2000s
The problem
Franchise discontent, high fees, Subway competition
Bankruptcy
Chapter 11, 2014
Result
Dramatically shrank and was sold
Today
A smaller surviving brand

Sources

Related: borders · blockbuster