Ben’s Soft PretzelsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A BEN’S SOFT PRETZELS franchise requires a total initial investment of $98K – $345K, including a $30K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 0.0% charge-off rate across 10 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $98K – $345K
- 8th pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- 6.0%
- 44th pct Service Resta…
- Units
- 85
- 72nd pct Service Resta…
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Only 0.0% of 10 SBA loans charged off, well below the 16% franchise average.
Franchised units fell from 78 to 77 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $98K – $345K including a $30K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict A (Top Quintile) with a risk score of 33/100. SBA loan charge-off rate of 0.0% across 10 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Ben’s Soft Pretzels Franchising Corporation
- Ultimate parent
- None
- CEO title
- Director, President and Chief Executive Officer
- Scott A. Jones
- CEO experience
- 16 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- IN
- HQ
- 1119 S. Indiana Avenue, Goshen, Indiana 46526
- Auditor
- Insight Accounting Group, P.C.
- Audited financials
- Franchisor revenue
- $1.5M
- vs $1.7M prior year
Overview
About
Franchisees operate small-format pretzel shops or kiosks, preparing and selling fresh soft pretzels and complementary items (drinks, dipping sauces). Daily operations include dough preparation, baking, point-of-sale management, and staff oversight in mall, street, or standalone locations. The model targets high-traffic venues and impulse purchase customer behavior.
- CEO
- Scott A. Jones
- Headquarters
- IN
- Founded
- 2012
- FDD year
- 2025
- States available
- 13
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $10K | $40K |
| Equipment, build-out, other | $58K | $275K |
| Total initial investment | $98K | $345K |
Source: BEN’S SOFT PRETZELS 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $98K – $345K
- Better than avg vs category
- Liquid capital req'd
- $10K – $40K
- Better than avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- 6.0%
- Gross Sales · typical 6–8%
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 7.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.5% of gross sales |
| Technology fee | $279 |
| Training fee | $500 |
| Transfer fee | $15K |
| Renewal fee | $3K |
| Inventory (initial) | $2K – $8K |
| Total fee load | 7.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Quick-Service Restaurants averages
How Ben’s Soft Pretzels Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 85
- Opened
- 13
- Last reporting year
- Closed
- 3
- Terminated
- 3
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 2
- Term expired, not renewed (per Item 20)
- Turnover rate
- 3.5%
- Company-owned
- 7
- Corporate units in the system
- % franchised
- 92%
- vs corporate-owned
- Net growth (yr3)
- +4.0%
- Net unit change last year
- 3-yr CAGR
- +1.3%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 2
- Non-renewed (3yr)
- 1
- Transfers (3yr)
- 4
- Reacquired (3yr)
- 1
- Franchisor bought back
- Projected new
- 0
- Franchisor's next-year forecast
- Transfer rate
- 4.7%
- Owners selling to other franchisees
- Termination rate
- 5.9%
- Franchisor-initiated terminations
- Ceased ops
- 11.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 12 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- Michigan
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 10
- Loan volume
- $696K
- Median loan
- $70K
- average
- Charge-off rate
- 0.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 5
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Ben’s Soft Pretzels's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 5 lenders with concentration factor
- Per-state charge-off rates across 2 states
- Startup risk premium and job creation velocity
- 6-year lending trend
Instant access. No subscription.
With a 0.0% charge-off rate across 10 loans, banks have historically viewed this brand favorably for lending.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Ben's Soft Pretzels presents elevated risk due to missing financial performance data, anemic unit growth, unprotected territories, and potential parent company viability concerns.
Litigation (Item 3)
No litigation is required to be disclosed in Item 3
Largest disclosed settlement: $65,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Insight Accounting Group, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 33 / 100 rating
- 01MINORNo Item 19 financial disclosure (average revenue and net income not provided) — impossible to validate ROI claims
- 02MINORMinimal unit growth of 4.0% YoY suggests market saturation or franchisee struggles
- 03MINORUnprotected territory creates direct competition risk from other Ben's franchisees in same area
- 04MINORWide investment range ($98K–$344.5K) indicates inconsistent startup costs and unclear cost structure
- 05HIGHNo 'Going Concern' flag is FALSE — suggests potential corporate financial distress
- 06MINOR5-year term is shorter than industry standard (10 years), increasing renewal/renegotiation risk
- 07MED6% royalty + undisclosed marketing fund could consume 8–12% of gross sales
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 2 |
| Protected territory | No |
| Territory sizeℹ | 5,000 people |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Indiana |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in Item 3
Items 10, 11
Training & Operations
- Classroom training
- 39 hrs
- On-the-job training
- 28 hrs
- Training location
- On-site at restaurant location
- Ongoing training
- Required
- Site selection
- franchisor
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
52 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
BEN’S SOFT PRETZELS · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a BEN’S SOFT PRETZELS franchise?
The total investment to open a BEN’S SOFT PRETZELS franchise ranges from $98K – $345K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do BEN’S SOFT PRETZELS franchise owners earn?
BEN’S SOFT PRETZELS does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is BEN’S SOFT PRETZELS's franchise failure rate?
Based on SBA 7(a) loan data, BEN’S SOFT PRETZELS has a charge-off rate of 0.0% across 10 loans, meaning 0.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many BEN’S SOFT PRETZELS franchise locations are there?
As of their most recent FDD filing, BEN’S SOFT PRETZELS has 85 total units in the United States, including 78 franchised units and 7 company-owned units. 13 new units were opened in the latest reporting year.
Is BEN’S SOFT PRETZELS a good franchise to buy?
FranchiseVerdict rates BEN’S SOFT PRETZELS as a A-grade franchise with a risk score of 33 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.