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House of Bread

At a Glance

Products & Services: Specialty breads, muffins, scones

Number of Locations: 8

Total Investment: $157K - 347K

Founded: 1996

Began Franchising: 1998

Private Owned

About House of Bread

After spending six years as a lawyer, Sheila McCann decided to do something different with her life. At Harvard Business School, she researched several business ideas before settling on a bread bakery. McCann had fond memories of baking with her grandmother as a child in Montana. Inspired by her grandmother's spirit of independence and endurance, she founded House of Bread in San Luis Obispo in 1996.

The company targets its specialty breads to young professionals, health-conscious consumers and baby boomers looking to increase fiber in their diets. House of Bread lets customers sample its healthful, whole-grain breads and watch the bread being made. All stores feature on-site milling.

Franchise Units

Year U.S. Canadian International Company Owned
2008 7 0 0 1
Where Seeking Franchisees: Franchisor is seeking new franchise units throughout the U.S.

Startup Costs, Ongoing Fees and Financing

Total Investment: $157,000 - $347,000
Franchise Fee: $32,000
Ongoing Royalty Fee: 6%
Term of Franchise Agreement: 10 years, renewable
Financial Requirements
Net Worth: $500,000
Liquid Cash Available: $150,000
Operations
25% of all franchisees own more than one unit. Number of employees needed to run franchised unit: 8. Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators).

How This Franchise Supports Franchisees

Training: Available at headquarters: 14 days. At franchisee's location: 10 days.
Ongoing Support: Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives,
Marketing Support: Co-op advertising, Ad slicks, Regional advertising,