Panera Bread/Saint Louis Bread Company vs Bruegger's Franchise Comparison

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

Start-Up Costs and Fees

 
Panera Bread/Saint Louis Bread Company Franchise
Bruegger's Franchise
Investment $1,010,985 - $2,252,846$389,600 - $591,600
Franchise Fee $35,000$30,000
Royalty Fee 5%5%
Advertising Fee --
Year Founded 19871983
Year Franchised 19931993
Term Of Agreement 20 years10 years
Term Of Agreement 20 years10 years
Renewal Fee -25% of then-current franchise fee


Business Experience Requirements

 
Panera Bread/Saint Louis Bread Company Franchise
Bruegger's Franchise
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


  • Industry experience

  • Financing Options

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

    Training & Support

     
    Panera Bread/Saint Louis Bread Company Franchise
    Bruegger's Franchise
    Training --
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluationsGrand opening, Field operations/evaluations
    Marketing Co-op advertising, Ad slicks, National media, Regional advertisingAd slicks, Regional advertising
    Operations 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)

    Franchisees required to buy multiple units/master licenses; 95% of all franchisees own more than one unit

    Absentee ownership of franchise is allowed. (66% of current franchisees are owner/operators)


    Expansion Plans

     
    Panera Bread/Saint Louis Bread Company Franchise
    Bruegger's Franchise
    US Expansion YesYes
    Canada Expansion NoNo
    International Expansion NoNo

    Company Overviews

    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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    About Bruegger's

    When Nord Brue and Mike Dressell started Bruegger's in 1983, they actually founded the retail bagel concept. Up until that point, bagels were considered mostly an ethnic food and were not known much outside of New York. At that time, less than one-third of Americans had ever tasted a bagel. From their home base in Burlington, Vermont, Brue and Dressell pioneered a new concept that expanded the traditional bagel bakery into a quick service bakery with premium specialty cream cheeses, custom-made sandwiches, signature soups and exceptional coffee. They worked with a professional bagel baker from New York City for 2 1/2 years to perfect their recipe and baking process. In 2004, Bruegger's welcomed new ownership and expanded beyond bagels into breads, wraps and other lunchtime menu items, and began updating bakeries to reflect the welcoming feel of a New England farmhouse-inspired bakery-cafe that Bruegger's has evolved into. Today, almost 40 years after the first Bruegger's opened in Troy, New York, there are almost 300 Bruegger's locations throughout the U.S., with more on the way.