What was the net change in the number of franchised Potbelly Sandwich Works outlets in 2022?
Potbelly_Sandwich_Works Franchise · 2025 FDDAnswer from 2025 FDD Document
| Outlet Type | Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | 2022 | 46 | 45 | -1 |
| 2023 | 45 | 79 | +34 | |
| 2024 | 79 Potbelly Franchise Non-Traditional Average Unit Volume | 95 | +16 | |
| 2022 | 2023 | 2024 |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 66–70)
What This Means (2025 FDD)
According to Potbelly Sandwich Works's 2025 Franchise Disclosure Document, the net change in the number of franchised outlets during 2022 was a decrease of 1 location. At the start of 2022, there were 46 franchised Potbelly Sandwich Works shops, and by the end of the year, the number had decreased to 45. This indicates that during 2022, the number of franchise closures or re-acquisitions by the company exceeded the number of new franchise openings.
For a prospective franchisee, this information highlights the importance of understanding the factors that contribute to the success and failure of Potbelly Sandwich Works franchises. While a single year's data doesn't necessarily indicate a long-term trend, it prompts further investigation into why the number of franchised locations decreased during that period. It would be prudent to ask Potbelly Sandwich Works about the reasons for this decrease and what measures they are taking to support franchisee success and growth.
Understanding the dynamics of franchise openings and closures is a critical part of due diligence. Potential franchisees should inquire about the average lifespan of a Potbelly Sandwich Works franchise, the common reasons for closures, and the support provided by the franchisor to help franchisees overcome challenges and maintain profitability. This information, combined with a thorough review of the FDD and conversations with existing franchisees, will provide a more comprehensive understanding of the risks and opportunities associated with investing in a Potbelly Sandwich Works franchise.