Wetzel's Pretzels vs Breadsmith Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Wetzel's Pretzels vs Breadsmith including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
Investment |
$126,600 - $405,850 | $380,250 - $454,750 |
Franchise Fee |
$35,000 | $30,000 |
Royalty Fee |
7% | 7% - 5% |
Advertising Fee |
1% | - |
Year Founded |
1994 | 1993 |
Year Franchised |
1996 | 1993 |
Term Of Agreement |
10 years | 15 years |
Term Of Agreement |
10 years | 15 years |
Renewal Fee |
- | $500 |
Business Experience Requirements |
Experience |
General business experience | General business experience Marketing skills helpful but not necessary |
Financing Options |
|
In-House/3rd Party | In-House/3rd Party |
Franchise Fees |
No/Yes | No/Yes |
Start-up Costs |
No/Yes | No/Yes |
Equipment |
Yes/Yes | No/Yes |
Inventory |
No/Yes | No/Yes |
Receivables |
No/No | No/Yes |
Payroll |
No/No | No/Yes |
Training & Support |
Training |
On-The-Job Training: 40 hours
Classroom Training: 40 hours
| On-The-Job Training: 219.5 hours
Classroom Training: 51 hours
|
Support |
Newsletter
Meetings/Conventions
Toll-Free Line
Grand Opening
Security/Safety Procedures
Field Operations
Site Selection
Franchisee Intranet Platform
| Purchasing Co-ops
Meetings/Conventions
Toll-Free Line
Grand Opening
Online Support
Security/Safety Procedures
Field Operations
Site Selection
Franchisee Intranet Platform
|
Marketing |
Ad Templates
Social media
SEO
Email marketing
Loyalty program/app
| Ad Templates
Social media
SEO
Website development
Email marketing |
Operations |
20% of all franchisees own more than one unit Number of employees needed to run franchised unit: 10
Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)
|
10% of all franchisees own more than one unit Number of employees needed to run franchised unit: 20
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) |
Expansion Plans |
US Expansion |
Yes | Yes |
Canada Expansion |
No | No |
International Expansion |
Yes | No |
Company Overviews
About Wetzel's Pretzels
Wetzel's Pretzels founded by Rick Wetzel & Bill Phelps, former marketing executives in 1994. 1st Wetzel's Pretzels located in South Bay Galleria in Southern California. First store was opened in 1995 Century City, Hollywood.
In 1996 Wetzel's Pretzels began franchising. Currently they have locations across United States (Universal City, Staples Center, Dodgers Stadium, Disneyland, Disney world) & internationally. Currently co-branding relationship with Cold Stone Creamery, Swensen's, Juice It Up and more.
Beginning of 2016 Wetzel's franchise fast food restaurants had 298 locations out of them 269 US locations; 2 in Canada; 19 worldwide; and 8 owned by the company itself.
Popular products:
Pretzels, consisting of several different flavors
Frozen Lemonade, sold in a variety of flavors.
Frozen Granita, a frozen version of the Italian dessert
The franchisor offers 3 franchise programs:
- A single Wetzel's Pretzels Bakery. The total investment necessary
to begin operation of a Wetzel's Pretzels Bakery ranges from $164,950
to $405,850. This includes approximately between $42,350 and $50,750
that must be paid to the franchisor. If Wetzel's Pretzels grants you a
license to operate a Remote Mobile Unit under a Remote Mobile Unit
Addendum to your Franchise Agreement, you will also pay it a fee of
$5,000 for a Remote Mobile Unit.
- Multiple Wetzel's Pretzels Bakeries within a defined area pursuant
to a Multi-Unit Development Agreement. There is an initial development
fee of $15,000 multiplied by the number of Bakeries which you must open,
plus the balance of the initial franchise fee ($20,000) for your first
Franchise Agreement. You will pay an initial franchise fee of $35,000
for each Bakery ($22,500 for a second Bakery in the same mall). However,
the franchisor will credit the development fee against the initial
franchise fees (at the rate of $15,000 for the second and each
subsequent Franchise Agreement).
- A single Wetzel's Pretzels Concession Truck or Trailer. The total
investment necessary to begin operation of a Wetzel's Pretzels Concession Truck or Trailer ranges from $126,600 to $275,850. This
includes approximately between $9,000 and $14,750 that must be paid to
the franchisor.
#497 in Franchise 500 for 2020.
About Breadsmith
While studying in Norway, college student Dan Sterling got his first taste of European bread. Sterling returned to the United States and graduated from Harvard Business School before starting his own company. But he never lost his love of bread, and after volunteering to help a local bakery with its accounting, he decided to launch a bakery of his own. He opened the first Breadsmith location in 1993, and the company began franchising in 1994.
The total investment necessary to begin operation of a Breadsmith
primary franchise store is $380,250 to $449,750 ($377,250 - $451,750 for
veterans). This includes $100,000 to $115,000 (less $3,000 if you are a
veteran) that must be paid to the franchisor or affiliate.
An
additional investment of $95,500 to $163,500 is necessary if a satellite
location is opened in connection with the primary store. This includes
$5,000 that must be paid to the franchisor or affiliate.
Veteran Incentives 10% off franchise fee
#333 in Franchise 500 for 2020.
#333 in Franchise 500 for 2021.