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Papa Murphy's Take 'N' Bake Pizza

Papa Murphy’s Company Stores, Inc.

Company Information

8000 NE Parkway Drive, Suite 100

[email protected]

Papa Murphy’s International LLC, a Delaware limited liability company, formerly known as Papa Murphy’s International, Inc., a Delaware corporation, is the franchisor and was incorporated in June 2004 and converted to a Delaware limited liability company in May 2010. Our principal business address is 8000 NE Parkway Drive, Suite 350, Vancouver, Washington 98662.

We offer the right to operate one or more Papa Murphy’s Franchised Stores. A copy of the Franchise Agreement is attached to this Disclosure Document as Exhibit D. In certain items of this Disclosure Document we will refer to specific provisions of the Franchise Agreement. For the sake of brevity, “FA” will refer to the Franchise Agreement. For selected areas, and for qualified candidates, we may offer an area development agreement (“Area Development Agreement”), attached to this Disclosure Document as Exhibit G or a Multiple Store Commitment (“Multiple Store Commitment”), attached to this Disclosure Document as Exhibit H. We may periodically make changes to the systems, menu, standards, and facility, signage, equipment and fixture requirements. You may have to make additional investments in the Franchised Store periodically during the term of the franchise agreement if those types of changes are made or if your Franchised Store’s equipment or facilities wear out or become obsolete, or for other reasons (for example, as may be needed to comply with a change in the system standards or code changes). All Franchised Stores must be developed and operated to our specifications and standards. Uniformity of products sold in Franchised Stores is important, and you will have no discretion in the products you sell. The franchise agreement is limited to a single, specific location,and we have the right to operate or franchise or license to others who may compete with you for the same customers. The distinguishing characteristics of the Papa Murphy’s system include, for example, distinctive exterior and interior design, decor, color and identification schemes; special menu items; standards, specifications and procedures for operations, quality of products and services offered; training and assistance; and marketing, advertising and promotional programs, all of which we may change, supplement, and further develop.

10 Ongoing Lawsuits

FDD Effective Date Action

Franchise Rating

Franchimp Summary Rating

7/10

Earning Transparency

10/10

Investment Accessibility

3/10

Summary of potential earnings

Average Revenue Per Unit

$666,663 / unit

Average Revenue During 2022
Franchise Type:

Baked Goods

$169,046

Industry Low

$1,021,505

Industry High

Franchise System Development

Year Units at Start of Year Units Opened Units Terminated Non-Renewals Re-Acquired by Franchisor Ceased Operations Units at End of Year

Distribution of Papa Murphy's Take 'N' Bake Pizza Franchisee

Employee Contact Database

# Name Position Email Phone

Summary of Investment Costs

Upfront Franchise Fees

Minimum: $169,764 Maximum: $308,450

Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.

These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.

While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.

Total Investment Costs

Minimum: $367,428 Maximum: $733,124

Ongoing Fees

Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.

These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.

Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.

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