In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:
Section I – Estimated initial investment (franchise costs) for a Paris Baguette franchise, based on Item 7 of the company’s 2023 FDD
Section II – Initial franchise fee, royalty fee, and marketing fee for a Paris Baguette franchise, based on Items 5 and 6 of the company’s 2023 FDD
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Section IV – News updates on the Paris Baguette franchise opportunity
Section V – Presentation and analysis of Paris Baguette’s financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2023 FDD, including information on the:
- 2022 average, median, highest, and lowest sales for the company-owned and franchised Paris Baguette Cafes that operated for the entire calendar year 2022, and are similar to the type of Paris Baguette Cafe that you would operate (“2022 Reported Outlets”)
- 2022 average, median, highest, and lowest sales for the company-owned and franchised 2022 Reported Outlets open between 13 and 24 months as of December 31, 2022
- 2022 average, median, highest, and lowest sales for the company-owned and franchised 2022 Reported Outlets open between 25 and 36 months as of December 31, 2022
- 2022 average, median, highest, and lowest sales for the company-owned and franchised 2022 Reported Outlets open more than 36 months as of December 31, 2022
Section VI – Key ratios, comparables, computations, and analyses for the Paris Baguette franchise opportunity (exclusive content for Platinum subscribers)
Section I – Paris Baguette Franchise Costs
- Paris Baguette franchise costs, based on Item 7 of the company’s 2023 FDD:
- Initial Franchise Fee: $50,000
- Real Estate or Advance Rent and Security Deposit and Other Prepaid Expenses and Costs: $10,000 to $90,000
- Building Costs/Leasehold Improvements: $250,000 to $1,000,000
- Equipment and Fixtures: $167,956 to $242,800
- Signs: $19,500 to $49,000
- Smallwares: $25,000 to $30,000
- Point-of-Sale System Hardware, Software, and Surveillance Equipment: $8,000 to $14,500
- Opening Inventory: $36,000 to $48,000
- Grand Opening Promotion: $10,000
- Licenses, Permits, Fees, and Deposits: $4,510 to $18,710
- Miscellaneous Expenses: $11,159 to $16,500
- Insurance: $3,405 to $4,890
- Attorneys’ Fees and Business Consultants: $3,035 to $7,500
- Travel and Living Expenses While Training: $20,000 to $65,000
- Cost of Goods During Training: $4,000
- Additional Funds for First 3 Months of Operation: $30,000 to $100,000
- Total Estimated Paris Baguette Franchise Costs: $652,565 to $1,750,900
Section II – Paris Baguette’s Initial Franchise Fee, Royalty Fee, and Marketing Fee
- Paris Baguette’s initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2023 FDD:
- Initial Franchise Fee: $40,000 to $50,000
- Royalty Fee: 5% of weekly Gross Sales
- Marketing Fund Fee: currently, 2% of weekly Gross Sales
- Local Marketing Requirement: currently, 1% of Gross Sales
Section III – Number of Franchised and Company-Owned Paris Baguette Outlets
Franchised
2020
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When I owned a UPS Store, I learned firsthand how much your ZIP code shapes your outcome. I sold my store at a premium because my territory was in a high-value area. The best areas go first, and once they're gone, they're gone. Enter your ZIP code, and a territory specialist will walk you through the franchises still available near you, drawing on information that isn't publicly accessible, saving you months of wasted research.🔴Free Webinar: 6 Under-the-Radar Franchise Concepts That Serious Buyers Should Know
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- Outlets at the End of the Year: 52
- Net Change: +14
2021
- Outlets at the Start of the Year: 52
- Outlets at the End of the Year: 68
- Net Change: +16
2022
- Outlets at the Start of the Year: 68
- Outlets at the End of the Year: 98
- Net Change: +30
Company-Owned
2020
- Outlets at the Start of the Year: 44
- Outlets at the End of the Year: 34
- Net Change: -10
2021
- Outlets at the Start of the Year: 34
- Outlets at the End of the Year: 26
- Net Change: -8
2022
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When I owned a UPS Store, I learned firsthand how much your ZIP code shapes your outcome. I sold my store at a premium because my territory was in a high-value area. The best areas go first, and once they're gone, they're gone. Enter your ZIP code, and a territory specialist will walk you through the franchises still available near you, drawing on information that isn't publicly accessible, saving you months of wasted research.📈Dreaming of Multi‑Unit Success? Lock In Prime Territories Before They're Gone.
Colin started as a team member at 21 and now owns 6 locations in Tampa Bay. Lisa came from marketing and built 21 in San Diego. The most successful multi-unit owners move early and secure markets with room to grow. Use our free tool to search multiple ZIP codes and find franchises where you can still stack locations, before someone else does. A franchise specialist will be in touch to present what's available.- Outlets at the Start of the Year: 26
- Outlets at the End of the Year: 20
- Net Change: -6
Section IV – News Updates on the Paris Baguette Franchise
Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Paris Baguette Franchise (Item 19, 2023 FDD)
- The tables in this Item 19 present historical sales data for Paris Baguette Cafes in 2022.
- All of the company-owned Cafes included in these tables are owned by Paris Baguette’s affiliate, PBA.
- PBA occasionally sells company-owned Cafes to be operated as franchised locations. Those locations are reported as franchised or company-owned depending whether they were sold in the first 2 quarters of a year (reported as franchised) or the last 2 quarters of a year (reported as company-owned).
2022 Reported Outlets
- The tables below provide “Average Sales” data for the period January 1, 2022 through December 31, 2022 from company-owned and franchised Cafes that operated for the entire calendar year 2022 and are similar to the type of Paris Baguette Cafe that you would operate (collectively, the “2022 Reported Outlets”).
- As of January 1, 2022, there were 26 company-owned Paris Baguette Cafes (including 3 kiosks) and 68 franchised Paris Baguette Cafes in total. The 2022 Reported Outlets include 21 company-owned Cafes and 63 franchised Cafes.
- The company-owned 2022 Reported Outlets do include 5 company-owned Paris Baguette Cafes that were sold to franchisees in the third and fourth quarters of 2022, but do not include 4 company-owned Paris Baguette Cafes that were sold to franchisees in the first and second quarters of 2022 and 1 company-owned Paris Baguette Cafe that was operated as a kiosk.
- The franchised Reported Outlets do include the 4 company-owned Paris Baguette Cafes that were sold to franchisees in the first and second quarters of 2022, but do not include the 9 franchised Paris Baguette Cafes that were operated as kiosks, or the 5 company-owned Paris Baguette Cafes that were sold to franchisees in the third and fourth quarters of 2022.
Part 1 – Average Sales (All Reported Outlets) for January 1, 2022 Through December 31, 2022
Company-Owned Cafes
- Total Number of Cafes: 21
- Average Sales: $3,038,715
- Percentage of Cafes at or Above Average: 48%
- Number of Cafes at or Above Average: 10
- Median Sales: $2,977,825
- Highest Sales: $6,706,050
- Lowest Sales: $1,406,004
Franchised Cafes
- Total Number of Cafes: 63
- Average Sales: $2,532,353
- Percentage of Cafes at or Above Average: 49%
- Number of Cafes at or Above Average: 31
- Median Sales: $2,532,084
- Highest Sales: $4,195,746
- Lowest Sales: $914,670
Company-Owned and Franchised Cafes
- Total Number of Cafes: 84
- Average Sales: $2,658,943
- Percentage of Cafes at or Above Average: 46%
- Number of Cafes at or Above Average: 39
- Median Sales: $2,591,043
- Highest Sales: $6,706,050
- Lowest Sales: $914,670
Part 2 – Average Sales (Cafes Open Between 13 and 24 Months) for January 1, 2022 Through December 31, 2022
Company-Owned Cafes
- Total Number of Cafes: 1
- Average Sales: $1,406,004
- Percentage of Cafes at or Above Average: 100%
- Number of Cafes at or Above Average: 1
- Median Sales: $1,406,004
- Highest Sales: $1,406,004
- Lowest Sales: $1,406,004
Franchised Cafes
- Total Number of Cafes: 13
- Average Sales: $2,706,484
- Percentage of Cafes at or Above Average: 46%
- Number of Cafes at or Above Average: 6
- Median Sales: $2,699,141
- Highest Sales: $4,195,746
- Lowest Sales: $914,670
Company-Owned and Franchised Cafes
- Total Number of Cafes: 14
- Average Sales: $2,613,593
- Percentage of Cafes at or Above Average: 50%
- Number of Cafes at or Above Average: 7
- Median Sales: $2,615,612
- Highest Sales: $4,195,746
- Lowest Sales: $914,670
Part 3 – Average Sales (Cafes Open Between 25 and 36 Months) for January 1, 2022 Through December 31, 2022
Company-Owned Cafes
- Total Number of Cafes: 1
- Average Sales: $2,539,865
- Percentage of Cafes at or Above Average: 100%
- Number of Cafes at or Above Average: 1
- Median Sales: $2,539,865
- Highest Sales: $2,539,865
- Lowest Sales: $2,539,865
Franchised Cafes
- Total Number of Cafes: 12
- Average Sales: $2,620,184
- Percentage of Cafes at or Above Average: 58%
- Number of Cafes at or Above Average: 7
- Median Sales: $2,893,116
- Highest Sales: $4,071,965
- Lowest Sales: $1,313,974
Company-Owned and Franchised Cafes
- Total Number of Cafes: 13
- Average Sales: $2,614,006
- Percentage of Cafes at or Above Average: 54%
- Number of Cafes at or Above Average: 7
- Median Sales: $2,886,660
- Highest Sales: $4,071,965
- Lowest Sales: $1,313,974
Part 4 – Average Sales (Cafes Open More Than 36 Months) for January 1, 2022 Through December 31, 2022
Company-Owned Cafes
- Total Number of Cafes: 19
- Average Sales: $3,150,902
- Percentage of Cafes at or Above Average: 37%
- Number of Cafes at or Above Average: 7
- Median Sales: $3,075,250
- Highest Sales: $6,706,050
- Lowest Sales: $1,694,099
Franchised Cafes
- Total Number of Cafes: 38
- Average Sales: $2,445,045
- Percentage of Cafes at or Above Average: 55%
- Number of Cafes at or Above Average: 21
- Median Sales: $2,513,223
- Highest Sales: $3,681,860
- Lowest Sales: $1,194,157
Company-Owned and Franchised Cafes
- Total Number of Cafes: 57
- Average Sales: $2,680,331
- Percentage of Cafes at or Above Average: 44%
- Number of Cafes at or Above Average: 25
- Median Sales: $2,588,657
- Highest Sales: $6,706,050
- Lowest Sales: $1,194,157
- These figures for “Average Sales” originate from Paris Baguette’s POS system, and reflect the revenues of Cafes. Nothing is deducted in these figures represented as “Average Sales.”
- “Percentage of Cafes at or Above Average” means the percentage of Cafes included in the data whose reported average sales are at or above the stated average, meaning that these Cafes performed better than the stated average.
- The sales figures from franchised Cafes are compiled from individual Cafes by using historical sales data that are reported to Paris Baguette by franchisees. Paris Baguette has not audited or verified the reports.
- Paris Baguette provides you sales data that includes average sales and the percentage of Cafes reporting who have attained or surpassed the stated average. This sales data does not include sales tax.
- Sales in regions with a higher concentration of Cafes, such as New York City, or that have been in operation for a substantial period, such as Northern California, tend to have higher sales than regions with a lower concentration of Cafes or that have been in operation for a shorter time period. These higher-performing Cafes increase the overall average due to their higher sales. Therefore, the sales performance of Cafes outside of these areas may not be commensurate with the overall average sales.
- Many of the Cafes included in this data have been open and operating for several years. These Cafes have achieved their level of sales after spending many years building customer goodwill at a location.
- Some outlets have sold these amounts. Your individual results may differ. There is no assurance that you will sell as much.
Section VI – Paris Baguette Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️
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