3 benefits to owning a bakery franchise

Franchising has many advantages. Owning a bakery franchise means you get to go into business for yourself—but not by yourself.

From the start, you have the benefit of a reputable, successful brand behind you and rigid guidelines designed to guarantee your success.

• While they may seem confining to some, having guidelines means you don’t have to go through the arduous trial and error process of finding out what works and what doesn't work for your business, such as pricing and products offered.
• Owning a popular bakery franchise means that you’ll be selling baked goods that people already know and love. It is, quite literally, a recipe for success.
• Establishing a solid customer base takes years for new businesses to achieve, but franchising cuts out this process and gives you a large, loyal customer base right off the bat.

From a customer perspective, a bakery franchise means that they can expect the same level of consistent quality at a number of locations.

Many bakery franchises offer pre-opening support, such as:

• Site selection
• Design and construction
• Financing
• Training
• Grand-opening program

Many bakery franchises offer ongoing support, such as:

• Training
• Advertising
• Operating procedures and operational assistance
• Ongoing supervision and management support
• Increased spending power and access to bulk purchasing

Buying a new or existing bakery franchise can cost anywhere from $200,000 to $1 million.

• Some bakery franchises offer programs for those that are interested in business ownership but lack the necessary financial capability to purchase a franchise outright.

In addition to the franchise cost, bakery franchisees have ongoing fees.

• You, the franchisee, will also be required to contribute a percentage of your earnings as a royalty payment and to make an advertising and marketing contribution.
• The percentages vary between bakeries, but 7 per cent is common for an ongoing royalty fee, and 3 per cent for the advertising and marketing contribution.

Franchising is a great opportunity for prospective business owners who want to get involved in a business with a proven method of success, while still retaining some freedoms as a store owner.