Great Harvest vs Panera Bread/Saint Louis Bread Company Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Great Harvest 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

 
Great Harvest Franchise
Panera Bread/Saint Louis Bread Company Franchise
Investment $69,613 - $704,873$1,010,985 - $2,252,846
Franchise Fee $35,000$35,000
Royalty Fee 5%5%
Advertising Fee 2.5%-
Year Founded 19761987
Year Franchised 19781993
Term Of Agreement 10 years20 years
Term Of Agreement 10 years20 years
Renewal Fee --


Business Experience Requirements

 
Great Harvest Franchise
Panera Bread/Saint Louis Bread Company Franchise
Experience
  • General business experience
  • *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

     
    Great Harvest Franchise
    Panera Bread/Saint Louis Bread Company Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/YesNo/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

     
    Great Harvest Franchise
    Panera Bread/Saint Louis Bread Company Franchise
    Training On-The-Job Training: 120 hours Classroom Training: 120 hours Additional Training: When necessary-
    Support Meetings/Conventions Toll-Free Line Grand Opening Field Operations Site Selection Franchisee Intranet Platform Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations
    Marketing Ad Templates Regional Advertising Social media Website development Email marketing Loyalty program/appCo-op advertising, Ad slicks, National media, Regional advertising
    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)

    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

     
    Great Harvest Franchise
    Panera Bread/Saint Louis Bread Company Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion YesNo

    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
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    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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