Wetzel's Pretzels vs Southern Maid Donuts Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Wetzel's Pretzels vs Southern Maid Donuts including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees

 
Wetzel's Pretzels Franchise
Southern Maid Donuts Franchise
Investment $126,600 - $405,850$64,000 - $227,000
Franchise Fee $35,000$5,000
Royalty Fee 7%-
Advertising Fee 1%-
Year Founded 1994-
Year Franchised 1996-
Term Of Agreement 10 years-
Term Of Agreement 10 years-
Renewal Fee --


Business Experience Requirements

 
Wetzel's Pretzels Franchise
Southern Maid Donuts Franchise
Experience
  • General business experience
  • -

    Financing Options

     
    Wetzel's Pretzels Franchise
    Southern Maid Donuts Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/Yes-/-
    Start-up Costs No/Yes-/-
    Equipment Yes/Yes-/-
    Inventory No/Yes-/-
    Receivables No/No-/-
    Payroll No/No-/-

    Training & Support

     
    Wetzel's Pretzels Franchise
    Southern Maid Donuts Franchise
    Training On-The-Job Training: 40 hours Classroom Training: 40 hours -
    Support Newsletter Meetings/Conventions Toll-Free Line Grand Opening Security/Safety Procedures Field Operations Site Selection Franchisee Intranet Platform -
    Marketing Ad Templates Social media SEO Email marketing Loyalty program/app -
    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)

    -

    Expansion Plans

     
    Wetzel's Pretzels Franchise
    Southern Maid Donuts Franchise
    US Expansion Yes-
    Canada Expansion No-
    International Expansion Yes-

    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:
    1. 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.
    2. 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).
    3. 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.
    "Entrepreneur
    #497 in Franchise 500 for 2020.








    About Southern Maid Donuts

    Southern Maid Donuts began in 1937 by Mr. and Mrs. J.B. Hargrove. A young couple coming out of the throws of the Great Depression, they created Southern Maid because they saw the need in the market for quality donuts. They created their own recipes, which have stood the test of time. Quality ingredients and uncompromised procedures are reason for the continued success of the Hargrove family to this very day.

    The product was so well accepted that besides selling donuts in their privately owned shops that they were sought out by individuals wanting to use Southern Maid products in their own bakeries and stores. The Hargrove couple began to license their trademark and to help individuals realize their dreams of owning their own businesses. Today, Southern Maid is used in over 100 stores.

    The Southern Maid name came about because of being from the South. Mr. and Mrs. Hargrove wanted a name that encompassed a feeling as well as humble southern traditions and memories. Part of this Southern Maid tradition was a large sponsorship for several years of the Louisiana Hayride Show in Shreveport, Louisiana. Many a young entertainer sang the praises of Southern Maid Donuts. An interesting note: Elvis did the only commercial of his life for any product on November 6th, 1954 for Southern Maid Donuts. He sang the jingle. "You can get them piping hot after 4 P.M., you can get them piping hot, Southern Maid Donuts hits the spot, you can get them piping hot after 4 P.M." Elvis frequented the Shreveport store for donuts on his visits to the Louisiana Hayride. Other entertainers that sang the praises of Southern Maid include Minnie Pearl, Johnny Horton, and Johnny Cash. The Johnny Cash version was released on the Best of the Louisiana Hayride Volume 4.

    Southern Maid products are also used institutionally in the form of pancake and muffin mixes. The Hargroves had created a pancake mix for home use. Over time, the mix was given to friends and family members. The requests for the mix got so large that they began to package it in 50-pound bags for selling to hotels and restaurants.

    Southern Maid has remained a tradition in the South because of the continued use of quality ingredients and procedures. We have been family owned since inception in 1937. Though Mr. and Mrs. Hargrove have since passed on, Southern Maid has evolved into the second and third generations of family ownership and management.