3/10

Franchimp Summary Rating

3 /10
Higher than 71% of peers

Franchise Summary

Description
Pappa Roti is a renowned franchise famous for its unique coffee buns, which combine soft bread with a crispy, buttery topping, and has expanded internationally since its origin in Malaysia. The franchise offers a variety of products, emphasizes quality ingredients, and provides a cozy atmosphere, contributing to its popularity as a casual dining destination.
Company Background
PAPPA ROTI is a fast-casual restaurant that specializes in buns, cookies, coffee and Mediterranean food. PAPPA ROTI was founded in 2014 by two professionals who wanted to introduce healthy eating to their own families. They started the business with one product: the bun. The company has grown over time and now sells baked goods, coffee, shawarma sandwiches and other Mediterranean food items like salads and lentil soup.
Franchise Opportunity
The Mediterranean food market is growing rapidly, but the current offerings in this space are not very diverse. The Papparoti Franchise will be a fast-casual restaurant that serves freshly baked breads and buns, coffee and other beverages as well as various Mediterranean foods such as shawarma sandwiches, salads and lentil soup. This franchise opportunity has been designed to appeal to customers who appreciate value for money, eating healthy yet tasty meals while also being able to enjoy socialising with friends over coffee at their local cafe.
Corporate Structure
We are a Michigan limited liability company, organized on October 15,2019 for the,purpose of fifanchising: PAPPAROTI Gafe &. Bakery. We do business under our company name and the name “PAPPAROTI,” Our principal business address is 35572 Grand River Avenue, Farmington Hills, Michigan 48335. Ifyour state is listedin Exhibit.N to this disclosure document, our agent for service of process in your state is listed in Exhibit O. Ifyour state is not listed in Exhibit M, our agent for service: ofprocess is Khaled Elshiwy, President and Member.
Investment and Franchisee Fees
The total investment necessary to begin operation of a franchise is between $306,500 to $407,500. This includes the initial franchise fee of $60,000 that must be paid to the Franchis or its affiliates. Ifyou become an Area Developer, you will pay a development fee equal to 100% of the initial franchise fee for the first Cafe,& Bakery to be opened, plus a deposit of 50% ofthe reduced initial fi anchise fee of $40,000 (i.e. $20,000) for each additional Cafe & Bakery to be established under an Area Development Agreement. The total investment necessary will vary based on how many Cafe & Bakery establishments will open. Thus, your investment to open a fi anchise is the same as for Individual Unit Franchises but your minimum initial afeadevelopment fee will be $80, 000 for at least tWo (2) Cafe &. Bakeries

Employee Contact Database

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FAQ

How much investment do I need to start my own Pappa Roti business?
Franchisees typically require at least $306 to $407 investment to get their Pappa Roti business started
What are the initial franchise fees for Pappa Roti?
Franchisees typically need to pay at least $60 in fees directly to Pappa Roti in order to earn the right to launch their business
How much money can I make with a Pappa Roti franchise? What are the average revenues for a typical Pappa Roti business?
We haven’t done the math on how much revenue a typical Pappa Roti brings in each year. We estimate that other franchisees in the Food & Beverage industry generate $1,201,697 revenue, so we would expect Pappa Roti to generate a similar amount
How long do I need to commit to running a Pappa Roti unit? What is my contractual commitment?
The standard length for an initial franchise contract is 10 years. Renewals are also generally 10 years

Accessibility

3 /10
The Franchisor's investment costs ranges from $300,000 to $720,500 which is Much Higher than the $0 to $0 average in the Cafes & Coffee Shops industry
What determines the investment cost?
Item 7 of the Franchise Disclosure Document lays out the full list of initial investment costs, including the fee payable to the franchisor, security deposits, equipment, professional fees etc

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