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% year 2, 5% year 3+) + up to 2% advertising + $350/mo ordering & loyalty program fee
Franchise Stats
Financial Performance
Item 19 Financial Performance
Data Based On: 16 Breadsmith franchisees who have operated their main franchise location for at least the entirety of the 2024 calendar year.
* Weighted average for gross revenue, median, and quartiles were directly extracted from the 'Total' and 'Quartile' rows of the 'Franchise (Main Store) Financial Information' table on page 2. The calculated weighted average revenue from individual quartiles confirmed the provided total average. Profit estimates (gross profit, net income, net profit, EBITDA, and best guess profit range) could not be calculated because the FDD explicitly states in 'Notes to All Tables' on page 3 that, beyond COGS and labor percentages, it 'does not contain expense or operating cost information, including royalty fees, loyalty program fees, advertising fund fees (as applicable) or any other fees, as well as other expense information stated in Item 6, which you will incur as a franchisee, and other expenses your business incurs.'
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% | 19 |
| 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 (2024)
Outlets by state across the United States
+3 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.
Franchisee Contacts
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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 $330,211 to $506,250. This includes a franchise fee of $49,000. Ongoing royalty fees are 7.0% of gross sales.
How much revenue does a BREADSMITH franchise make?
According to the 2025 FDD, the average gross revenue for a BREADSMITH franchise is $1,212,633.91. The median revenue is $727,462.13.
How many BREADSMITH franchise locations are there?
As of the 2025 FDD, BREADSMITH has 19 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: transparent financial performance data (Item 19), 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?
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