Franchise Associates LLC history

The new enterprise, however, did not stop DeLuca from beginning his freshman year at the University of Bridgeport in September (he graduated in 1971 with a B.S. in psychology). Juggling his studies and the sandwich shop, weeks turned into months for DeLuca and the business never soared as planned.

The FTC followed suit in 1973, ruling that the franchisor could not force feed a franchisee product as part and parcel of the franchise arrangement.

In 1974, as the partners approached the tenth year of their alliance, they were supposed to have had 32 submarine shops according to their initial business plan.

In 1977, Kroc assumed the title of Senior Chairman.

In 1978 the FTC issued a body of law commonly called The Franchise Rule . The Franchise Rule requires every franchisor create and maintain an up to date disclosure document which was called a Uniform Franchise Offering Circular (UFOC).

The FTC’s disclosure investigation culminated in the Franchise Rule of 1979.

KFC continued to grow, reaching the 6,000 mark in the 1980’s, and eventually 10,000 outlets.

By 1983 there were 200 Subway shops and DeLuca and Buck discovered one of the largest hurdles was keeping their brand consistent in all locations.

1984: The first international Subway opens in Bahrain, Saudi Arabia; United States locations total 360.

All seemed lost, until the franchisees formed a company, called Franchise Associates, Inc., and bought both chains, having originally considered buying just the restaurant chain, in early 1986.

In response, in August 1987, the National Conference of Commissioners on Uniform State Laws (NCCUSL) recommended a Uniform Franchise Act for greater uniformity and coordination by state legislatures.

The estimated 27,273 new franchise units that opened in 1988 represented the addition of one new franchise unit every twenty minutes throughout the year.

1989: Subway stores number more than 3,500 worldwide.

They decided to update the location a bit in 1990, with a new logo, and added an exaggerated pointed arch entryway.

The Primestar logo since 1991, three years before its acquisition by HoJo's.

In 1994 Subway was nearing the 10,000 mark and DeLuca was determined to take on the world's largest fast-food chain, McDonald's Corporation.

The FTC approved the use of the UFOC as an alternative to the FTC’s disclosure requirements later that year. — By 1995, the new UFOC Guidelines were adopted by each of the state franchise regulatory authorities that require registration of franchise offerings.

F. The Current Status and Reasons for New Growth – 1996 to the Present

By the fall of 1998 Subway had more than 13,229 shops worldwide and made changes to both its marketing strategy and its menu.

1999: Subway's 14,000th store opens; wraps become part of the permanent menu.

2000: Jared Fogle makes his first commercial; gourmet breads and sauces are added to Subway's menu.

The same survey found that franchised businesses in 2001 accounted for 7.4 percent of all private-sector jobs, 5.0 percent of all private sector payrolls, and 3.9 percent of all private sector output.

In 2002 Subway wore its new title--as the nation's largest fast-food chain--proudly and decided to revamp its shops and image.

2004: Subway surpassed 22,000 stores worldwide; Atkins-themed wraps are added to the menu.

On June 11th, 2005, Franchise Associates, Inc. announced they were purchasing the entire Wendy's brand from Triarc Companies, Inc.

Initially, this document was known as the Uniform Franchise Offering Circular (UFOC) and, in 2008 became known as a Uniform Franchise Disclosure Document.