Breadsmith vs Arizona Bread Company Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of Breadsmith vs Arizona Bread Company including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees

 
Breadsmith Franchise
Arizona Bread Company Franchise
Investment $380,250 - $454,750$149,000 - $341,500
Franchise Fee $30,000$25,000
Royalty Fee 7% - 5%5%
Advertising Fee --
Year Founded 19931994
Year Franchised 19932002
Term Of Agreement 15 years20 years
Term Of Agreement 15 years20 years
Renewal Fee $5001/2 of current franchise fee


Business Experience Requirements

 
Breadsmith Franchise
Arizona Bread Company Franchise
Experience
  • General business experience
  • Marketing skills helpful but not necessary

  • Management skills

  • Financing Options

     
    Breadsmith Franchise
    Arizona Bread Company Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/YesNo/Yes
    Start-up Costs No/YesNo/Yes
    Equipment No/YesNo/Yes
    Inventory No/YesNo/Yes
    Receivables No/YesNo/Yes
    Payroll No/YesNo/Yes

    Training & Support

     
    Breadsmith Franchise
    Arizona Bread Company Franchise
    Training On-The-Job Training: 219.5 hours Classroom Training: 51 hours -
    Support Purchasing Co-ops Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Franchisee Intranet Platform Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Ad Templates Social media SEO Website development Email marketingCo-op advertising, Ad slicks, Regional advertising
    Operations 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)

    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: 13 - 15

    Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators)


    Expansion Plans

     
    Breadsmith Franchise
    Arizona Bread Company Franchise
    US Expansion Yes-
    Canada Expansion NoNo
    International Expansion NoNo

    Company Overviews

    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


    "Entrepreneur
    #333 in Franchise 500 for 2020.
    #333 in Franchise 500 for 2021.



    About Arizona Bread Company


    The Arizona Bread Company began in 1994 and immediately established itself as the premier bakery/cafe in Scottsdale Arizona.

    We are a fast casual artisan bakery offering breads, made from scratch soups, gourmet sandwiches and desserts in an engaging environment and featuring award-winning food. Arizona Bread Company uses only the freshest ingredients using no preservatives, additives, bases or conditioners. Every sandwich is prepared to order so it is served at its freshest. We have evolved into a rather unique niche offering alternatives to traditional fast food concepts.

    Arizona Bread has consistently been recognized as the premier purveyor of quality breads in the Metro Phoenix Area since 1994 as evidenced by our numerous awards and customer loyalty base.

    The Arizona Bread Company produces natural breads and does not use any additives, bases, conditioners or preservatives as many bakeries do. Many of our bread products contain zero fat.