Submarina California Subs announced a significant investment in the company by Kerensa Investment Fund 1 LLC. The new alliance enables the 32-year-old sub chain to pursue a larger market share within the growing sandwich sector.
Submarina California Subs specializes in fresh ingredients for their sub sandwiches, melts, wraps, and salads. Produce is sliced daily at each location, meats and cheeses are sliced-to-order, and every sandwich comes on fresh-baked bread. With the size of the sandwich sector continuing to rise within the quick service industry—the number of sandwich shops are second only to hamburger restaurants and represent 8% of the total quick service industry—Submarina is poised to continue the growth established by the chain in recent years.
“In the current economic environment, we are proud of our record growth in the past two years,” says Jeff Warfield, CEO of Submarina. “We opened 18 new restaurants in 2008, and plan to open 20 more in 2009. The recent partnership with Kerensa enables us to build on this growth, financing the additional marketing and internal infrastructure necessary to increase Submarina’s market penetration and brand awareness.”
“This investment from Kerensa is very good news for our existing franchisees,” says Mimi Zeller, president and COO for Submarina. “We intend to provide additional funds in branding, advertising, and local store marketing programs in an effort to increase awareness and drive customer traffic. The strength of our franchise community is our biggest asset and there is great reason to be excited and encouraged about what we can accomplish.”