Bottom line
- Total investment $819K – $1.8M including a $50K franchise fee, 6.5% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated STRONG with a risk score of 52/100.
- System growing at 100.0% CAGR over 3 years with 88 total units — strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one 85°C Bakery Cafe unit return on the cash you put in?
Unlevered ROIC · per unit
6%
Below typical band (30–60%)
Overview
About
Franchisees operate a combination bakery and cafe serving freshly baked goods, pastries, coffee, and light meals. Daily operations include managing production of baked items, managing a front-of-house cafe with point-of-sale systems, staff scheduling, inventory management, and customer service across both retail and potentially delivery channels.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 9 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Bakery-cafe franchise with strong unit expansion but critical transparency gaps on unit economics, questionable growth metrics, and no financial performance data to justify high capital requirements.
Score breakdown · what drove the 52 / 100 rating
- 01MEDNo Item 19 financial performance disclosure (average revenue and net income not disclosed) prevents informed ROI analysis
- 02MEDHigh initial investment range ($819k-$1.77M) with no disclosed average unit volumes to validate payback period
- 03MINOR100% YoY unit growth claim is mathematically impossible (88 units cannot grow 100% YoY) — suggests data error or misleading metric reporting
- 04MINORProtected territory provided but no information on territory size, population density, or exclusivity enforcement mechanism
- 05MINORFranchise fee ($50k) appears low relative to high unit investment, potentially indicating undercapitalization or aggressive growth prioritized over franchisee success
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
12 numbers
One-time purchase · CSV download · Validation questions included
FDD download
85°C Bakery Cafe · FDD (2026) PDF