Newk's Eatery Franchise FDD, Costs & Fees (2025)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Franchisees

?

73
+
-19%
-19%
Investment required

?

$1,014,000 - $1,337,000
Revenue (AUV)

?

$2,224,000
Undisclosed
Pro
+
n.a.
+
xx%
-xx%
n.a.
Initial franchise fee

?

$40,000
Royalty fees

?

5.00%
+
2.75%
Operating Profit

?

8.8%

Pro
Franchisees

?

73
+
-19%
-19%
Investment required

?

$1,014,000 - $1,337,000
Franchise fee

?

$40,000
Royalty fees

?

5.00%
+
2.75%
Revenue (AUV)

?

$2,224,000
Undisclosed
Pro
+
n.a.
+
xx%
-xx%
n.a.
Operating Profit

?

8.8%

Pro

Newk's Eatery: A Culinary Journey from Oxford, Mississippi

Founded in 2004 in Oxford, Mississippi by Don and Chris Newcomb along with Debra Bryson, Newk's Eatery has its roots in a rich culinary history, building on the founders' previous success with the McAlister's Deli concept.

Newk's Eatery sets itself apart in the fast-casual dining industry with a menu featuring made-from-scratch sandwiches, soups, salads, pizzas, and desserts, all crafted with fresh ingredients. Each item is prepared daily with no pre-slicing, pre-chopping, or pre-packaging, ensuring maximum flavor and nutritional value.

With its headquarters now in Jackson, Mississippi, Newk's Eatery has seen substantial growth since it started franchising in 2005. Owned privately by Sentinel Capital Partners, the eatery continues to emphasize quality, freshness, and culinary innovation. The name "Newk's" is a tribute to the Newcomb family cookbook, symbolizing the brand's dedication to home-style, quality meals that evoke family favorites.

In the fast-casual dining sector, Newk's Eatery stands out for its commitment to using fresh, high-quality ingredients and maintaining a made-from-scratch philosophy across its entire menu. This dedication has not only earned a loyal customer base but also established Newk's as a notable contender in the industry, celebrated for its quality kitchen and comforting dishes that cater to diverse dietary preferences and tastes.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Franchise Fee $40,000
Business Licenses & Permits $1,500 to $3,000
Leasehold Improvements $422,500 to $587,000
Fixtures, Furnishings & Equipment $415,000 to $527,000
Architect Fees $34,850 to $48,850
Rent and Utility Deposits $8,000 to $16,000
Other Professional Fees $5,000 to $5,500
Insurance Deposit $5,000 to $10,000
Initial Inventory of Food and Paper Supplies $12,500 to $18,000
Training Expenses $22,500 to $30,000
Grand Opening Advertising $15,000
Additional Funds (for initial period of operations) $32,500 to $40,000
Total $1,014,350 to $1,337,350

Franchise Disclosure Document

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Competitors

Franchise
Franchisees
Growth
Initial fee
Investment
Revenue
Gross Profit
Operating Profit
Industry

73

+
-19%
-19%
No growth
New

$40,000

$1,014,000

-

$1,337,000

n.a.

$2,224,000

Pro

65.0%

Pro

8.8%

Pro

Food & Beverage

Training 

Newk's Eatery provides an extensive training program designed to equip franchisees with the essential knowledge and skills needed to run their restaurant efficiently. The program integrates multiple learning methods to ensure thorough preparation.

Who Should Attend: The program is mandatory for the franchisee's Operating Principal, the General Manager, and between two to four management personnel, depending on the restaurant's size.

Training Curriculum: The training encompasses a variety of crucial topics, including sales techniques, product knowledge, accounting practices, food preparation, and operational management.

Location and Duration: Training sessions are held at Newk's Eatery's designated locations. The program must commence at least 15 days before the restaurant's opening date and includes 276 hours of on-the-job training and 74 hours of classroom instruction.

Continuous Training: To ensure ongoing proficiency, Newk's Eatery may require key personnel to participate in refresher courses, seminars, and additional training programs.

Training Costs: While Newk's Eatery covers the cost of the management training instruction, all other expenses related to attending the training are the responsibility of the franchisee.

Territory Protection

Franchisees are granted a specific geographical area known as the "Protected Area," but it is important to note that this does not constitute an exclusive territory.Within the Protected Area, Newk's Eatery agrees not to open or authorize a new franchise for another Newk's Eatery restaurant.Franchisees should be aware that competition may still arise from various sources, including other franchisees, company-owned outlets, or different distribution channels and competitive brands under Newk's Eatery's control.

The size and boundaries of the Protected Area are established based on multiple considerations such as current and anticipated market demand, demographic data, and local traffic patterns.

Number of units

2023
Franchised units

90

87

73

Company-owned units

20

18

27

Total units

110

105

100

Competitors

PrimoHoagies

Investment required
$351,000
-
$760,000
Franchisees
93
+
18%
18%

Penn Station East Coast Subs

Investment required
$474,000
-
$765,000
Franchisees
321
+
1%
1%

Ike's

Investment required
$141,000
-
$614,000
Franchisees
6
+
200%
200%

Goodcents Deli Fresh Subs

Investment required
$329,000
-
$465,000
Franchisees
65
+
0%
0%

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Franchise Disclosure Documents
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