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Description

How To Open a Great Harvest Bread Co. Franchise?

To start your journey as a Great Harvest Bread Co. franchisee, you will need to complete an ownership application and review the franchise disclosure document (FDD). Following this, potential franchisees participate in a series of interviews and training sessions, which include a visit to the company's headquarters in Dillon, Montana. If selected, you will be granted the franchise rights to operate a bakery café. Your new venture can include baking fresh whole-wheat bread, sandwiches, and other baked goods, all while enjoying the support of the Great Harvest team.

What Are the Investment Requirements for a Great Harvest Franchise?

The total investment for opening a Great Harvest bakery café varies significantly based on location type. For a "Hub" location that includes bread-baking capabilities, the investment ranges from $168,262 to $984,154, which includes an initial franchise fee of $35,000. In contrast, a "Spoke" location, which does not bake bread but sells baked goods, requires an investment between $46,152 and $352,840 with a lower franchise fee of $15,000. Additionally, franchisees must be prepared for ongoing royalty fees of 5% of monthly gross sales, which can impact profitability.

Why Choose a Great Harvest Bread Co. Franchise?

Great Harvest Bread Co. is known for its commitment to quality, offering whole-wheat baked goods and fresh sandwiches made from scratch. Franchisees benefit from a strong brand reputation and a well-established customer base. The franchise model supports creativity in menu offerings and allows franchisees to set their own prices. Furthermore, Great Harvest provides comprehensive training and ongoing support, making it an appealing choice for passionate entrepreneurs who want to deliver quality products to their communities.

Is a Great Harvest Franchise Right for You?

Owning a Great Harvest Bread Co. franchise is a rewarding opportunity for those who are passionate about baking and community service. With over 50 bakery cafés in operation, the franchise has a proven business model. However, prospective franchisees should assess their financial readiness and market conditions. The bakery industry is competitive, so understanding local demographics and consumer preferences is crucial. If you have the drive to succeed and meet the financial commitments, a Great Harvest franchise could be a fulfilling investment.

Great Harvest Bread Co. 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.

A broad sector defining similar types of franchise businesses.

Industry

Restaurant Franchises
A more specific division within the broader industry.

Category

Quick-Service Restaurants
Available financing options to help start the franchise.

Funding Year

1980
The main organization that owns the franchise brand.

Parent Company

Great Harvest Franchising, Inc.
The key individuals guiding the franchise’s strategy and growth.

Leadership

Mike Ferretti
The official business address of the franchisor’s headquarters.

Corporate Address

28 South Montana Street, Dillon, Montana 59725
The total amount required to launch the franchise.

Initial Investment

$46,152 - $984,154
The initial fee paid to join the franchise system.

Franchise Fee

$35,000
Ongoing percentage of revenue paid to the franchisor.

Royalty Fee

5%
Regular contribution toward the franchise’s advertising fund.

Marketing Fee

2.5%
The minimum liquid capital you must have on hand.

Cash Required

$168,262 - $984,154
The minimum total assets (minus liabilities) you must possess.

Net Worth Required

$500,000 - $1,000,000
The typical yearly revenue generated per franchise location.

Average Revenue

$907,502
The middle value of yearly revenue among franchise locations.

Median Revenue

$861,185
The smallest reported annual revenue among franchisees.

Lowest Revenue

$266,746
The largest reported annual revenue among franchisees.

Highest Revenue

$2,633,768
The estimated timeframe to recover your initial costs.

Breakeven Time

12 Months
The estimated period to recoup your total investment.

Investment Payback

15 Months

Great Harvest Bread Co. Franchise Unit Growth Summary

A breakdown of corporate, franchised, and total units, with yearly net changes shown in the chart and table.

The overall number of operating franchise locations.

Total Units

156
The number of locations owned by independent franchisees.

Franchised Units

155
The number of locations owned and run by the franchisor.

Corporate Units

1
Units 2021 2022 2023
Total Units 169 162 156
Net Change YoY -7 -6
Franchised Units 168 161 155
Net Change YoY -7 -6
Corporate Units 1 1 1
Net Change YoY 0 0

Company Background

Great Harvest Bread Co. is a well-established franchise specializing in freshly baked bread and wholesome baked goods. Founded in 1976 in Great Falls, Montana, the company has grown to over 200 locations across the United States. Known for its commitment to high-quality ingredients and traditional baking methods, Great Harvest offers a variety of artisan breads, pastries, and sandwiches, all made from scratch daily. The brand emphasizes a community-focused approach, supporting local farmers and promoting health-conscious products.

Franchise Opportunity

Investing in a Great Harvest Bread Co. franchise presents a unique opportunity for entrepreneurs looking to enter the food industry with a reputable brand. The franchise model provides comprehensive training and support, ensuring franchisees are well-equipped to succeed. With a relatively low initial investment range, typically between $150,000 and $400,000, including equipment and inventory costs, franchisees can tap into a growing market for artisan and health-oriented bakery products. The brand’s established customer base and marketing strategies further enhance the potential for profitability.

Corporate Structure

Great Harvest Bread Co. operates under the corporate entity Great Harvest Franchising, Inc., which was established to oversee franchise operations and support. The company is headquartered in Dillon, Montana, and maintains a collaborative corporate culture that encourages franchisee feedback and participation in decision-making. This structure is designed to ensure that franchisees have a voice in the brand’s evolution while benefiting from the strength of a larger organization.

Royalties

Franchisees of Great Harvest Bread Co. are required to pay a royalty fee of 6% of gross sales, which contributes to the overall brand development and marketing initiatives. Additionally, there is an advertising fund contribution of 2% of gross sales to support regional and national marketing efforts. These fees are designed to enhance brand recognition and drive customer traffic to franchise locations, ultimately supporting franchisee success.

Company Mission

At Great Harvest Bread Co., our mission is to provide the highest quality baked goods while fostering a sense of community and connection. We are dedicated to using only the finest ingredients, prioritizing health and nutrition in our offerings. By supporting local farmers and engaging with the communities we serve, we aim to create a warm, welcoming environment where customers can enjoy our delicious products and feel part of something special. Our commitment to sustainability and quality drives our passion for baking.

Brand Story

Great Harvest Bread Co. began with a simple vision: to provide fresh, wholesome bread made from high-quality ingredients. The journey started in 1976 when founders Pete and Lianne Ewing opened their first bakery, introducing the concept of milling whole grains on-site. This innovative approach not only ensured freshness but also allowed for a unique range of flavors and textures. Over the years, the brand has expanded its offerings while staying true to its roots, becoming a beloved institution in the bakery industry and a go-to destination for customers seeking quality and authenticity.

Frequently Asked Questions

The initial investment to open a Great Harvest Bread Co. franchise typically ranges from approximately $400,000 to $600,000. This includes the franchise fee, equipment, leasehold improvements, and initial inventory costs.