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- 2022 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$576K - $1000K
- Units as of 2022
25 3% over 3 years
Here’s what you need to know if you’re interested in opening a Famous Toastery franchise.
As the name suggests, Famous Toastery believes it made itself famous in the market. In 2005, the founder, Robert Maynard, opened his first breakfast spot in North Carolina and developed better ways to serve customers.
To reach the demand for toast, Famous Toastery expanded its reach to various locations in 2013. Famous Toastery now has several franchises across the United States.
Apart from the breakfast, lunch, and brunch staples, Famous Toastery restaurants are also expected to serve wide-ranging traditional lunch varieties like wraps, burgers, and more.
Why You May Want to Start a Famous Toastery Franchise
Famous Toastery has striven to become an independent business venture in the "better breakfast" market niche. A Famous Toastery location should ensure that all customers, staff members, patrons, and franchisees feel respected and welcomed by Famous Toastery at any serving point. In that case, the franchise highly recommends potential candidates with qualities including excellent interpersonal and organizational skills, exemplary customer service, and excellent business acumen.
Opening a Famous Toastery franchise could offer a more predictable outcome than investing in a completely new brand that may struggle to thrive in an already crowded and competitive industry.
What Might Make a Famous Toastery Franchise a Good Choice?
In the saturated food industry, Famous Toastery believes it has managed to improvise a serving model by using a team effort to serve every customer. It may also be no secret that Famous Toastery is appreciated for its new take on culinary combinations while still maintaining its quality ingredients, menu, and groundbreaking business strategy.
Since its establishment, the founder of Famous Toastery has focused on supporting the brand's quality by preparing only fresh food served to the customers' expectations. New restaurant franchisees should run the daily operations of the Famous Toastery, supervise and hire trained professionals.
To be part of the Famous Toastery 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 prepare yourself for ongoing fees that will include advertising fees and royalty fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.
How To Open a Famous Toastery Franchise
If awarded a franchise, franchisees may receive a great deal of support from the Famous Toastery brand throughout the franchising process. In addition to pre-opening training, Famous Toastery franchisees could receive support through brand awareness, marketing, research, and construction.
As you decide if opening a Famous Toastery franchise is the right move for you, make sure you take time to explore the opportunity. You may want to speak to existing franchisees and ask the Famous Toastery franchising team questions and research the brand and your local area to see if a Famous Toastery franchise would do well in your community. While competition is healthy, too much of it may not allow for the most possible growth.
It may be a good idea to speak with an attorney or financial advisor to ensure that you have the necessary financial resources to own and operate a Famous Toastery franchise.
About Famous Toastery
- Franchising Since
- 2013 (9 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees in the following US states: North Carolina, South Carolina, Tennessee, Virginia
- # of Units
- 25 (as of 2022)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Famous Toastery 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
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
- $575,500 - $999,500
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
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
- $250,000 - $400,000
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 50% off 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
- to 1.5%
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
- 10 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?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- Third Party Financing
- Famous Toastery 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
- 744 hours
- Classroom Training
- 32 hours
- Ongoing Support
NewsletterMeetings & ConventionsGrand OpeningSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial 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.
Franchise 500 Ranking History
Compare where Famous Toastery landed on this year’s Franchise 500 Ranking versus previous years.
Are you eager to see what else is out there? Browse more franchises that are similar to Famous Toastery.
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