|
Below is an in-depth analysis and side-by-side comparison of House of Bread vs Arizona Bread Company including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
||
Investment | $157,000 - $347,000 | $149,000 - $341,500 |
Franchise Fee | $35,000 | $25,000 |
Royalty Fee | 6% | 5% |
Advertising Fee | - | - |
Year Founded | 1996 | 1994 |
Year Franchised | 1998 | 2002 |
Term Of Agreement | 10 years | 20 years |
Term Of Agreement | 10 years | 20 years |
Renewal Fee | $5K | 1/2 of current franchise fee |
Business Experience Requirements |
||
Experience | ||
Financing Options |
||
In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/Yes |
Start-up Costs | No/No | No/Yes |
Equipment | No/No | No/Yes |
Inventory | No/No | No/Yes |
Receivables | No/No | No/Yes |
Payroll | No/No | No/Yes |
Training & Support |
||
Training | - | - |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
Marketing | Co-op advertising, Ad slicks, Regional advertising | Co-op advertising, Ad slicks, Regional advertising |
Operations |
25% of all franchisees own more than one unit Number of employees needed to run franchised unit: 8 Absentee ownership of franchise is 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 |
||
US Expansion | - | - |
Canada Expansion | No | No |
International Expansion | Yes | No |
After spending six years as a lawyer, Sheila McCann decided to do something different with her life. At Harvard Business School, she researched several business ideas before settling on a bread bakery. McCann had fond memories of baking with her grandmother as a child in Montana. Inspired by her grandmother's spirit of independence and endurance, she founded House of Bread in San Luis Obispo in 1996.
The company targets its specialty breads to young professionals, health-conscious consumers and baby boomers looking to increase fiber in their diets. House of Bread lets customers sample its healthful, whole-grain breads and watch the bread being made. All stores feature on-site milling.
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.