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Ben's Soft Pretzels Franchise ProfileRestaurant Franchises > Quick-Service Restaurants |
What Are the Initial Investment Requirements for a Ben's Soft Pretzels Franchise?
To open a Ben's Soft Pretzels franchise, you should expect an initial investment ranging from $90,000 to $344,500. This includes a franchise fee of $30,000. Additionally, you’ll need to have a cash requirement between $90,000 and $246,500, and a net worth of $300,000 to $500,000. Understanding these financial commitments is crucial for aspiring franchisees to ensure they are adequately prepared for the venture.
What Are the Ongoing Fees for a Ben's Soft Pretzels Franchise?
Franchisees of Ben's Soft Pretzels are required to pay a royalty fee of 6% on their gross sales. Additionally, there is a marketing fee of 1.50%. These ongoing fees are essential for maintaining brand presence and support, and they should be factored into your financial planning and budgeting to ensure sustained profitability.
What Financial Performance Can Franchisees Expect?
On average, a Ben's Soft Pretzels unit generates annual revenue of approximately $1,512,558. The profitability is reflected in an EBITDA margin of 18.24%, which indicates healthy financial performance. With a breakeven time of just 12 months and an investment payback period of 24 months, franchisees can anticipate a relatively quick return on their initial investment, making it an attractive opportunity for potential investors.
How Many Ben's Soft Pretzels Units Are There?
As of 2023, Ben's Soft Pretzels has a total of 81 units, with 75 being franchised and 6 corporate-owned. The growth trajectory is evident, with an increase in franchised units from 63 in 2021 to 75 in 2023. This expansion reflects the brand's increasing popularity and market presence, providing new franchisees with a supportive network and established brand recognition.
Ben's Soft Pretzels Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Ben's Soft Pretzels Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2021 | 2022 | 2023 |
|---|---|---|---|
| Total Units | 69 | 74 | 81 |
| Net Change YoY | 5 | 7 | |
| Franchised Units | 63 | 69 | 75 |
| Net Change YoY | 6 | 6 | |
| Corporate Units | 6 | 5 | 6 |
| Net Change YoY | -1 | 1 |
Company Background
Ben's Soft Pretzels is a fast-casual franchise specializing in freshly baked soft pretzels. Founded in 2008, the brand has grown steadily, appealing to snack lovers with its unique flavors and high-quality ingredients. With a focus on customer experience and community engagement, Ben's Soft Pretzels has established itself as a go-to destination for pretzel enthusiasts across the United States.
Franchise Opportunity
Investing in a Ben's Soft Pretzels franchise offers aspiring entrepreneurs the chance to join a thriving brand with a proven business model. The franchise provides comprehensive training and ongoing support, helping franchisees navigate the complexities of running a successful operation. With a low initial investment and strong revenue potential, this franchise opportunity is ideal for both first-time business owners and seasoned investors looking to expand their portfolios.
Financial Overview
The initial investment for a Ben's Soft Pretzels franchise ranges from $90,000 to $344,500, with a franchise fee of $30,000. Franchisees are required to pay a royalty fee of 6% on gross sales and a marketing fee of 1.5%. The average annual revenue per unit is approximately $346,072, providing a solid return on investment potential, with a breakeven time of just 12 months.
Operational Support
Ben's Soft Pretzels offers extensive operational support to franchisees, including site selection assistance, training programs, and marketing resources. Franchisees also benefit from a centralized supply chain, ensuring consistent quality and timely delivery of ingredients. This support structure is designed to help franchise owners streamline their operations and maximize profitability.
Brand Growth
The number of franchised units has steadily increased from 63 in 2021 to 75 in 2023, showcasing the brand's growth trajectory. With a commitment to expanding its footprint, Ben's Soft Pretzels is actively seeking new franchise partners to help further its reach in both existing and untapped markets. This growth presents exciting opportunities for new franchisees to capitalize on the brand's rising popularity.
Customer Experience
At Ben's Soft Pretzels, the customer experience is paramount. The brand focuses on delivering not only delicious pretzels but also a welcoming atmosphere that encourages repeat visits. Through engaging promotions, community involvement, and a commitment to quality, Ben's Soft Pretzels aims to create memorable experiences that keep customers coming back for more.
Frequently Asked Questions
The initial investment for a Ben's Soft Pretzels franchise ranges from $90,000 to $344,500, which includes the franchise fee of $30,000 and other startup costs.