Kettleman's Bagel vs Krispy Kreme Franchise Comparison

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

Start-Up Costs and Fees
 
Kettleman's Bagel Franchise
Krispy Kreme Franchise
Investment $300,000 - $450,000$200,500 - $4,115,000
Franchise Fee $25,000$12,500 - $25,000
Royalty Fee 6%4.5%
Advertising Fee -1.5%
Year Founded 19921937
Year Franchised 19960
Term Of Agreement 10 years-
Term Of Agreement 10 years-
Renewal Fee 25% of initial franchise fee-


Business Experience Requirements
 
Kettleman's Bagel Franchise
Krispy Kreme Franchise
Experience
  • Industry experience
  • General business experience
  • Marketing skills
  • Must be customer service-oriented
    		•  *Passionate about the Krispy Kreme brand and products *Proven track record of running a successful multi-unit restaurant business *Highly committed to providing great customer service *Financial resources to fund a multi-unit store development plan including a minimum $1 million in liquid assets and a minimum net worth of $2 million.

    Financing Options
     
    Kettleman's Bagel Franchise
    Krispy Kreme Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/No-/-
    Start-up Costs No/Yes-/-
    Equipment No/Yes-/-
    Inventory No/No-/-
    Receivables No/No-/-
    Payroll No/No-/-

    Training & Support
     
    Kettleman's Bagel Franchise
    Krispy Kreme Franchise
    Training -*Initial Production Training (three to four weeks) *Processing Standards (one to two weeks) *Shift Management Training (four to five weeks) *Equipment Maintenance (1 week)
    Support Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives *New product innovation and unique occasion product offerings *Access to Krispy Kreme University �" a six month, all-inclusive training for Operations Directors, General Managers and Assistant General Managers *Grand opening support *Ongoing restaurant franchise operations support for the term of the franchise agreement *In-store training for hourly staff *Real estate and site selection support *Conceptual drawings *Project management and construction support *Access to area development agreements *Ability to impact communities with a unique and robust fundraising program
    Marketing Co-op 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)

    		-

    Expansion Plans
     
    Kettleman's Bagel Franchise
    Krispy Kreme Franchise
    US Expansion Yes-
    Canada Expansion No-
    International Expansion Yes-

    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 Krispy Kreme

    Are you ready to embrace a franchise opportunity worth a million smiles? Owning a Krispy Kreme doughnut franchise could be the sweetest move you have ever made!
    In 1937, an entrepreneurial young man named Vernon Rudolph rented a small warehouse in Winston Salem, North Carolina so he could make doughnuts to sell to grocery stores. As it turns out, those doughnuts smelled so good that people walking past wanted to buy them. Vernon cut a hole in an outside wall and started selling them to passersby. Business began to boom! Vernon perfected the proprietary doughnut-making equipment and the secret recipe to be used in his new chain of shops, ensuring that every single doughnut made at a Krispy Kreme shop was deserving of the Krispy Kreme name. Now, with decades of franchising experience, Krispy Kreme has become one of the most beloved doughnut and coffee franchises on the market with worldwide brand recognition. As the leading specialty retailer of premium-quality doughnuts, including our signature Original Glazed, our vision is to be the worldwide leader in sharing delicious tastes and creating joyful memories.

    Krispy Kreme franchisees share our vision and benefit from our time-tested leadership and doughnut franchise experience in bringing our premium brand to more people in more places than ever before. We strive to fulfill our mission statement: to touch and enhance lives through the joy that is Krispy Kreme. As a Krispy Kreme doughnut and coffee franchise owner, you become part of something more than just making doughnuts and coffee - you will share in the sweet success we strive for each and every day, as well as the smiles of your customers when they taste our delicious sweet treats. From our Hot Doughnuts Now sign and Doughnut Theater to our iconic paper hats, Krispy Kreme is a sweet and unique flavor of a brand.

    The total initial investment necessary to begin operation ranges from $1,287,500 to $2,750,000 for a Factory Store;
    $558,500 to $1,500,000 for a Tunnel Oven Shop;
    $440,500 to $1,200,000 for a Fresh Shop;
    $200,500 to $453,000 for a Box Shop; and
    $1,617,500 to $4,115,000 for a Commissary Facility.
    These totals include the following amounts that must be paid to us as initial fees and for a variety of goods and services, as follows: for a Factory Store, $355,000 to $580,000; for a Tunnel Oven Shop, $91,000 to $134,000; for a Fresh Shop, $30,000 to $33,000; for a Box Shop, $30,000 to $33,000; and for a Commissary Facility, $355,000 to $1,070,000.

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