Breadsmith
Breadsmith Franchising, Inc.
Company Information
409 East Silver Spring Drive, Suite U11 Whitefish Bay, Wisconsin 53217
Breadsmith Franchising, Inc was incorporated on September 21, 1993. Their principal business address is 409 East Silver Spring Drive, Suite U11 Whitefish Bay, Wisconsin 53217. They have offered franchises since September 1993.
The franchises we are offering will allow you to operate one or more premium European-style bread stores and satellite locations in a specific territory and to sell breads, foods, and other products to bulk and wholesale accounts in that territory. BREADSMITH bakeries feature a wide assortment of premium quality fresh, hearth baked breads, hearth baked products, food products, and other complementary items. We also have special confidential recipes and techniques we allow you to use in your BREADSMITH business. You will sell only the highest-quality baked goods using BFI-taught BREADSMITH FDD 2 2019 baking processes in an efficient open-kitchen concept, with a generous sampling program in your store. There are two or three distinct markets your business will serve. Your retail and satellite store will sell directly to the customer. This customer includes all consumers, but particularly middle and upper income level consumers. Your stores will compete with other businesses that sell fresh baked goods, including grocery stores. The branded wholesale market consists primarily of grocery stores to whom you can sell breads on a wholesale basis. The commercial wholesale market for bulk sales consists of restaurants and country clubs that purchase baked goods to serve to their customers. In these markets, you will be competing with other bread producers who sell their products to restaurants and through grocery stores and other retail outlets.
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Franchise Rating
Franchimp Summary Rating
4/10
Investment Accessibility
4/10
Franchise System Development
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Distribution of Breadsmith Franchisee
Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $192,000 Maximum: $215,000
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: $330,211 Maximum: $506,250
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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