Corner bakery café is a well-known American eatery chain. They sell sandwiches, pastries, soups, pasta, and other delicious foods. They were established in 1991 as a bread bakery in Chicago, Illinois. Right now, their headquarters are in Dallas, Texas and they operate as a casual café serving a wide variety of products. They are not an independent company, their parent company is Rohan Group of Companies. The quality of their bread is excellent as they started as a bakery, and their sandwiches are extremely popular, like the Chicken Pomodori Panini. Here, let’s know ‘Is Corner Bakery cafe a franchise?’
Corner Bakery café is a franchise, a well-known one at that. They were founded on the principle of creating a warm, comfortable place that will make customers feel at home. They have a feel-good atmosphere, it is a place where people come to relax and catch up with friends and family. We will be going into a few details about their company and their franchise system. They started their franchising system in 2006. The cost of a Corner Bakery franchise will be starting from $25,000 to more than a million dollars worth of investments. Corner Bakery does not offer financial support to its franchises.
The number of profits will be directly proportional to the investments made. The average gross sales that a Corner Bakery franchise makes is 2 million dollars. In the United States, there are currently approximately seventy locations of this franchise. They are constantly looking for new markets, so it will profit you if you want to jump on the bandwagon. The initial agreement term for a franchise in ten years, and you will have to keep renewing it every ten years if you wish to continue your franchise. They conduct training for 583 hours, after which you can manage the café on your own, keeping in mind Corner Bakery’s rules and regulations.
How to Open a Corner Bakery Franchise?
Here are a few steps to take if you want to open a Corner Bakery franchise;
- You will need to have enough capital. You need to plan thoroughly if you are serious about opening a franchise. Consider employee payment, rent or lease costs, equipment, furniture costs, licensing costs, insurance costs, and much more.
- Evaluate your skills and employee people accordingly. You will need to have good management, good business skills. Gauge your strengths and weaknesses.
- Get a proper assessment of your market. Find all your competitors, try to figure out how your store will be more attractive than others to a rational consumer. If there are too many close competitors, you will be better off looking for other markets.
- After figuring out everything on your part, having a feasible and profitable plan, you can go ahead and submit your franchise application to Corner Bakery.
- Once they receive your application, they will conduct a background check and approve your application if you meet all their requirements. You will have to wholeheartedly cooperate with them for the background check. They will need to know who they are allowing to open a franchise using their brand name.
- Corner Bakery will assign an architect or planner to your franchise. They will create a design plan for your café, called the Design Development Plan. It will have a systematically planned space layout and exterior designs. You will need to reimburse them later concerning this. This will have a base price of $5,000 and an increase in this amount will depend on how complex the project is.
- These are the main required steps. After this, you can start building your café.
Costs of Starting a Corner Bakery Franchise
As one of the main doubts regarding franchising are costs to be undertaken, here is a list of all the major costs you will need to cover;
- Initial Fee of $25,000
- Development Fee of $10,000
- Design Development Fee of $5,000 or more, depending on how complex your design is.
- Royalty Fee to Corner Bakery, which will be 5% of your gross sales.
- National marketing fund, which is 0.75% of gross sales as of now.
- Regional marketing fund
- Brand development fee, decided by Corner bakery
- Attorney fees
- Inspection, auditing costs
- Crisis management cost
- Taxes
- Employee damages cost
- Interest charges
- Indemnification costs
- IT and computer services
- Possible relocation fees
- Management personnel fees
- Employee training costs
Conclusion
Corner Bakery is a reliable and successful franchise system. If you are someone looking to open a franchise restaurant, make sure that you have enough and more capital, in case your plan fails. Corner Bakery is an excellent choice. If you have recognized an area where there is demand for such a restaurant and not enough supply, it is highly likely that your restaurant will do well. Food is such an important part of daily life, and Corner bakery is like a cozy slice of home that everyone loves. Happy Franchising!
