Great Harvest vs Breadsmith Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Great Harvest vs Breadsmith including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
Investment |
$69,613 - $704,873 | $380,250 - $454,750 |
Franchise Fee |
$35,000 | $30,000 |
Royalty Fee |
5% | 7% - 5% |
Advertising Fee |
2.5% | - |
Year Founded |
1976 | 1993 |
Year Franchised |
1978 | 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 |
No/Yes | No/Yes |
Inventory |
No/No | No/Yes |
Receivables |
No/No | No/Yes |
Payroll |
No/No | No/Yes |
Training & Support |
Training |
On-The-Job Training: 120 hours
Classroom Training: 120 hours
Additional Training: When necessary | On-The-Job Training: 219.5 hours
Classroom Training: 51 hours
|
Support |
Meetings/Conventions
Toll-Free Line
Grand Opening
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
Regional Advertising
Social media
Website development
Email marketing
Loyalty program/app | Ad Templates
Social media
SEO
Website development
Email marketing |
Operations |
10% of all franchisees own more than one unit Number of employees needed to run franchised unit: 5
- 7
Absentee ownership of franchise is NOT 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 Great Harvest
Pete Wakeman had been baking bread most of his life. As a child, he would help his aunt. In high school, he baked for his friends. During summer vacations, he sold bread from the roadside. In 1976, when Wakeman heard about a bakery in Great Falls, Montana, that was going under, he bought it. With the help of his wife, Laura, Wakeman established the Great Harvest Bread Co. and set about baking loaves for people in the Great Falls community. Soon, people from neighboring communities starting asking about setting up their own Great Harvest locations. The first franchise opened in Kalispell, Montana. In 1983, the Wakemans converted their Great Falls bakery into a franchise and moved company headquarters to Dillon, Montana, so they could concentrate on the franchising end of their business. Great Harvest bakeries serve a variety of breads each day including honey whole wheat, white cheddar garlic, sunflower and cranberry orange.
The total investment necessary to begin operation of a Great Harvest
bakery cafe franchise in a “Hub” location is $144,100 to $704,873. This
includes $35,000 that must be paid to the franchisor or affiliate.
The
total investment necessary to begin operation of a Great Harvest bakery
cafe franchise in a “Spoke” location is $69,613 to $447,536. This
includes $15,000 that must be paid to the franchisor or affiliate.
If
you want development rights, you must pay the franchisor a development
fee equal to the full initial franchise fee for the first bakery cafe
($35,000) plus a deposit of $7,500 (of the $15,000 initial franchise
fee) for each additional bakery cafe you agree to develop. The total
investment necessary to begin operation if you acquire development
rights is $151,600 to $712,373. This includes $42,500 that must be paid
to the franchisor or affiliate.
Veteran Incentives 15% off franchise fee
#4 on Franchise Rankings.com
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.