Kettleman's Bagel vs Panera Bread/Saint Louis Bread Company Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Kettleman's Bagel vs Panera Bread/Saint Louis Bread Company including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
Kettleman's Bagel Franchise
Panera Bread/Saint Louis Bread Company Franchise
Investment $300,000 - $450,000$1,010,985 - $2,252,846
Franchise Fee $25,000$35,000
Royalty Fee 6%5%
Advertising Fee --
Year Founded 19921987
Year Franchised 19961993
Term Of Agreement 10 years20 years
Term Of Agreement 10 years20 years
Renewal Fee 25% of initial franchise fee-


Business Experience Requirements
 
Kettleman's Bagel Franchise
Panera Bread/Saint Louis Bread Company Franchise
Experience
  • Industry experience
  • General business experience
  • Marketing skills
  • Must be customer service-oriented

    • *Experience as a multi-unit restaurant operator *Recognition as a top restaurant operator *Net worth of $7.5 million *Liquid assets of $3 million *Infrastructure and resources to meet our development schedule *Real estate experience in the market to be developed *Total commitment to the development of the Panera Bread brand *Cultural fit and a passion for fresh bread


    Financing Options
     
    Kettleman's Bagel Franchise
    Panera Bread/Saint Louis Bread Company Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/NoNo/No
    Start-up Costs No/YesNo/No
    Equipment No/YesNo/No
    Inventory No/NoNo/No
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support
     
    Kettleman's Bagel Franchise
    Panera Bread/Saint Louis Bread Company Franchise
    Training --
    Support Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperativesNewsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations
    Marketing Co-op advertisingCo-op advertising, Ad slicks, National media, Regional advertising
    Operations International franchisees required to buy multiple units/master licenses; 0% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 8 - 10

    Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)

    		 Franchisees required to buy multiple units/master licenses; 100% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 40 - 60

    Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)

    Expansion Plans
     
    Kettleman's Bagel Franchise
    Panera Bread/Saint Louis Bread Company Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion YesNo

    Company Overviews

    About Kettleman's Bagel

    A young company - long on tradition. That is why Kettleman's Bagel Company makes the best bagels around. However, tradition does not mean much if the authenticity is gone. Our bagels are made by bakers who knead the dough, cut it with a knife, roll it out by hand, boil it honey water to seal in the moisture, and bake them in a wood burning oven. Just the traditional and original attention to detail which one expects when they go to an old-fashioned bagel shop. Our system is easy - roll, kettle, and bake traditional bagels in a wood buring-oven using hand picked hardwood, and give each customer a bag full of hot bagels each time they come to Kettleman's Bagel Co. One of the reasons we are so successful is that we offer our customers a "no-wall" experience. When customers walk into our bagel shop, the first thing they see is the Kettleman's Bagel Roller working and rolling fresh bagels. Behind the Bagel Roller is the Baker who finishes the bagels with fresh poppy or sesame seeds and bakes them for about twenty minutes in our wood-burning oven. Once the process is complete, and it is an active process of carefully turning over the bagels away from the open hot wood flames, the bagels are ready to be eaten. The customers' "no-wall" experience means not only they get to watch the entire show, but also that they get to inspect our standards of production and hygiene. We have nothing to hide and our customers love it.

    About Panera Bread/Saint Louis Bread Company

    After more than 17 years in the retail industry, Ken Rosenthal changed gears and founded Saint Louis Bread Co. in 1987. His goal was to create a neighborhood bakery where people could pick up fresh-baked bread, meals and snacks. In 1993, Rosenthal sold Saint Louis Bread to Au Bon Pain Co. Six years later, the company was renamed Panera Bread. The future growth of Panera Bread will be based upon company bakery-cafe development as well as the continued sale of franchise area development agreements. Panera Bread does not sell single-unit franchises, so it is not possible to open just one bakery-cafe. Rather, we have chosen to develop by selling market areas which require the franchise developer to open a number of units, typically 15 bakery-cafes in a period of 6 years. Panera Bread franchises must be well-capitalized to open great bakery-cafes and meet this aggressive development schedule. Additionally, they must have a proven track record as excellent multi-unit restaurant operators to operate great Panera Bread bakery-cafes.

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