FranchiseVerdict
Bimbo Foods Bakeries Distribution logo
FV-00305·CAUTIONStandard67

Bimbo Foods Bakeries Distribution

Food & Beverage - BakeryFranchising since 1996Website
Investment
$14K – $607K
0th pct Bakery
Avg revenue
70th pct Bakery
Royalty
Units
6,957
100th pct Bakery
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $14K – $607K including a $8K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 69/100. SBA loan default rate of 0.0% across 3 loans (below the industry average).
  • 63 litigation matters disclosed in Item 3 — higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Bimbo Foods Bakeries Distribution, LLC
Parent company
Bimbo Bakeries USA, Inc.
Incorporated in
Delaware
HQ
355 Business Center Drive, Horsham, Pennsylvania 19044
Auditor
Mancera, S.C. (Ernst & Young Global Limited)
Audited financials
Franchisor revenue
$3.6B
Most recent fiscal year

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 Bimbo Foods Bakeries Distribution unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: restaurant
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $14K–$607K
Working capital
$
FDD reports $2K–$7K

Unlevered ROIC · per unit

21%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$68K
EBITDA margin
9.0%
Total invested
$314K
Payback
56 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Franchisees operate as independent distributors for Bimbo Foods Bakeries, delivering branded baked goods to retail locations, managing inventory, restocking shelves, and handling customer service. Day-to-day operations involve route management, cold-calling retailers, managing accounts receivable, and maintaining product freshness compliance across protected territories.

CEO
Tony Gavin
Founded
1996
FDD year
2025
States available
48

Item 7 · what it costs

The Vitals

Total investment
$14K – $607K
All-in to open one unit
Liquid capital
$2K – $7K
Cash you must have on hand
Franchise fee
$8K
Royalty
n/d
Ad fund
n/d
Total fee load
19.8%
vs 9–13% typical

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

Total units
6,957
Opened
2,968
Last reporting year
Closed
142
Turnover rate
2.0%
Company-owned
503
Corporate units in the system
% franchised
93%
vs corporate-owned
Net growth (yr3)
+1.1%
Net unit change last year
3-yr CAGR
+4.2%
Compounded over last 3 years
2023
6,454+73
Franchised units
2024
6,381
Franchised units
2025
6,194
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 7 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 7 states
Not registered

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.

Total loans
3
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

69
Risk · 0-100
CAUTION69 / 100

This is a high-risk opportunity with a franchisor in potential financial distress, substantial unresolved litigation, undisclosed financial metrics, and stagnant unit growth — avoid unless extensive independent validation is conducted.

Score breakdown · what drove the 69 / 100 rating

  1. 01HIGHGoing Concern status is FALSE — indicates the franchisor may have substantial doubt about ability to continue operations
  2. 02HIGHSignificant litigation involving misclassification, labor law violations, fraud, and deceptive trade practices suggests systemic operational or legal problems
  3. 03MEDExtreme investment range ($14K-$606K) with no disclosed average revenue or net income makes ROI assessment impossible
  4. 04MINORRoyalty fee structure unknown — hidden or variable fees could dramatically impact profitability
  5. 05MINORStagnant unit growth (1.1% YoY on 6,957 units) indicates system is barely expanding and may be declining when accounting for closures
  6. 06MINORNo Item 19 financial performance disclosure prevents validation of franchisee earnings claims
  7. 07HIGH$0 franchise fee combined with going concern status suggests franchisor may be desperate to recruit franchisees

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Geographic Sales Area
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
63
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Owner-operator
Optional
Governing law
Pennsylvania

Item 11

Training & Operations

Classroom training
0 hrs
On-the-job training
0 hrs
POS system
Hand-held computer ordering system
Operating tech stack

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

100 numbers

Locked
(334) 446-••••
AL
(951) 703-••••
CA
(251) 716-••••
AL

One-time purchase · CSV download · Validation questions included

FDD download

Bimbo Foods Bakeries Distribution · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above