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- 2023 Franchise 500 Rank
#49 Ranked #28 last year
- Initial investment
$112K - $547K
- Units as of 2022
1,807 17.3% over 3 years
Here’s what you need to know if you’re interested in opening a Cinnabon franchise.
Cinnabon is a well-known bakery franchise that started in Seattle, Washington in 1985. The company's first franchise opened a year later in Pennsylvania, and since then, it has opened more than 1,500 franchises across the United States and in dozens of other countries.
The father and son team who started the brand had one mission: to make the best cinnamon roll ever. Looking at the company's presence throughout the world, they may have come pretty close to accomplishing that goal. Put simply: it strives to be a lovable, nostalgic brand. The product is tasty and smells amazing. On top of that, it could be a fun business to run.
Why You May Want to Open a Cinnabon Franchise
Have you tasted a Cinnabon cinnamon roll before? If you meet the qualifications, you might open a franchise location on taste alone. The aroma of fresh bread laced with cinnamon makes many people drool. But outside of its delicious frosted rolls, the brand may be incredibly recognizable to its customers and franchisees.
Like its dough, Cinnabon could be on the rise. And you might be the first Cinnabon location in your community. The brand is continuing to expand its name to reach all 50 states, and your franchise could be the newest one on the block.
As a franchisee, you don't necessarily have to own a full bakery. There might be other options for you. You might choose to open a co-brand store, a kiosk, or a co-brand kiosk. With your location, no matter how big or small, you may be promoting the company's mission to spread warmth with crave-able baked goods.
What Might Make a Cinnabon Franchise a Good Choice?
When you walk into a Cinnabon bakery front, the smell of the cinnamon roll may feel like it sells itself. Because the company usually selects its locations in high-traffic areas, many noses are making purchasing choices. Because of this attraction, the brand has won various accolades for its gooey rolls.
Cinnabon has been ranked in Entrepreneur’s Franchise 500 many times in the past several decades. This ranking is based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability. With significant appeal to many generations, the iconic cinnamon roll may not go out of style.
To be part of the Cinnabon team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should be prepared for ongoing fees that will include advertising, royalty, or renewal fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.
How To Open a Cinnabon Franchise
To start your Cinnabon franchise journey, you should submit a franchise request form. Along with providing basic information, you may need to specify if you're interested in opening one or more locations.
It's generally great if you have restaurant experience, but it's not typically required. One of Cinnabon's evaluation methods is their shadow training at a Cinnabon location. If you perform well, your chances of being approved might go up. Once you pass the initial qualifying steps, you might undergo a series of training, including a bakery manager training program and grand opening support.
The construction of your Cinnabon site may depend on the build-out and location. But once it's ready to go, the most challenging thing might just be not eating the product!
- Franchising Since
- 1986 (37 years)
- # of employees at HQ
- Where seeking
This company is offering new franchisees throughout the US.
This company is offering new franchisees in the following international regions: Asia, Middle East, Europe (Eastern), Europe (Western), Canada
- # of Units
- 1,807 (as of 2022)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Cinnabon franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
- $5,500 - $30,500
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $112,000 - $546,800
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Net Worth Requirement
- $300,000 - $580,000
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
- $40,000 - $260,000
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- $10,500 off full bakery franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 20 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
- Third Party Financing
- Cinnabon has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 36 hours
- Classroom Training
- 20 hours
- Ongoing Support
NewsletterMeetings & ConventionsToll-Free LineGrand OpeningSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Ad TemplatesSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Interested in ownership opportunities like Cinnabon? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where Cinnabon landed on this year’s Franchise 500 Ranking versus previous years.
Curious to know where Cinnabon ranked on other franchise lists? Find out below.
Ranked #49 in 2023
Franchise 500 Ranking
Ranked #25 in 2022
Ranked #34 in 2022
Top Global Franchises
Ranked #113 in 2022
Fastest-Growing Franchises (U.S. & Canada)
Ranked #4 in 2022
Top Franchises for Less Than $150,000
Ranked #1 in Cinnamon Rolls in 2021
Best of the Best
Ranked #1 in Cinnamon Rolls in 2022
Top Food Franchises
Ranked #1 in 2023
#1 in Baked Goods: Cinnamon Rolls Category
Ranked #4 in 2022
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