BREADSMITH
Breadsmith franchises operate retail and wholesale businesses offering a wide assortment of premium quality hearth-baked breads, hearth-baked products, food products, and complementary items. The business model centers on franchisees investing in primary stores (with optional satellite locations) to sell artisanal baked goods to both consumers and wholesalers. It targets customers seeking high-quality, freshly baked specialty breads and related food items.
Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.
Overview
Financial Requirements
7% royalty (decr. to 6% yr 2, 5% yr 3) + up to 2% advertising + $325/mo ordering & loyalty program
Franchise Stats
Financial Performance
Item 19 Financial Performance
This franchise did not provide Item 19 financial performance data.
Be careful if you are interested in investing. The lack of financial performance representations may indicate limited data or varying results across franchises.
Extracted Item 19 Section
How BREADSMITH Compares to Other Coffee & Bakery Franchises
| Franchise | Investment Range | Franchise Fee | Royalty | Locations |
|---|---|---|---|---|
BREADSMITH Current | $330K - $506K | $49K | 7.0% | 25 |
| PANERA BREAD BAKERY-CAFÉ | $633K - $4.9M | $35K | 5.0% | 1,112 |
| SCOOTER'S COFFEE | $955K - $1.5M | $40K | 6.0% | 825 |
| NOTHING BUNDT CAKES | $667K - $1.0M | $45K | 6.0% | 643 |
| GREAT AMERICAN COOKIES | $341K - $463K | $25K | 6.0% | 395 |
| 7 BREW | $894K - $2.2M | $35K | 4.5% | 297 |
Coffee & Bakery Average 37 franchises | $498K - $1.1M | $40K | 5.5% | - |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 37 Coffee & Bakery franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2023)
Outlets by state across the United States
+2 more states
SBA Loan History
Historical SBA 7(a) loan data for BREADSMITH franchisees (2010 - 2025)
Loans by Year
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Due Diligence
Litigation (Item 3)
No litigation involving franchisees reported in the FDD.
Bankruptcy (Item 4)
No bankruptcy history reported in the FDD.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
How much does it cost to open a BREADSMITH franchise?
The total initial investment to open a BREADSMITH franchise ranges from $330,210.6 to $506,250. This includes a franchise fee of $49,000. Ongoing royalty fees are 7.0% of gross sales.
How many BREADSMITH franchise locations are there?
As of the 2024 FDD, BREADSMITH has 25 franchise locations.
Can you get an SBA loan for a BREADSMITH franchise?
Yes, SBA loans are available for BREADSMITH franchises. Historical data shows 14 SBA 7(a) loans have been approved for BREADSMITH franchisees, with an average loan amount of $147,964. The historical default rate is 0.0%.
Is BREADSMITH a good franchise to buy?
BREADSMITH shows several positive indicators: low SBA loan default rate. However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.
Interested in BREADSMITH?
Talk to a franchise advisor to get personalized guidance and learn if BREADSMITH is the right fit for you.
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