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Corner Bakery Cafe Franchise Cost, Revenue & Review 2026

Quick-Service RestaurantsTexasFranchising since 2024
BAbove averageAbove average48/100Editorial grade from public filings; not investment advice.
Investment
$1.1M – $2.3M
Disclosed sales
not disclosed
SBA charge-off
Under 10 loans (8)

Investment, fees, disclosed sales, units, SBA record and risk, as one PDF. Free; no spam; one click to unsubscribe.

FV-00631FDD 2025Data QualityExcellent86%
Owner-operator requiredYes: Protected territory

Data from FDD filing + SBA 7(a) records

Analysis by FranchiseVerdict Research · Methodology

Corner Bakery Cafe is a fast-casual franchise serving breakfast, sandwiches, salads, soups, and fresh-baked goods. Franchisees run cafes managing kitchen, counter service, and staffing.

FranchiseVerdict summary · 2026

A Corner Bakery Cafe franchise requires a total initial investment of $1.1M – $2.3M, including a $40K franchise fee and an ongoing 5.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →

Limited operating history: franchising since 2024. A system this young has fewer than three years of Item 20 outlet history and rarely enough SBA loans for a charge-off rate, so its grade rests on less evidence than an established system's. Read its Item 20 tables and talk to its first franchisees before relying on the grade. Other new franchisors

Sources, dates and evidence

FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file

Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 5 headline figures on this page cite a page of the filing.

Overview

Investment
$1.1M – $2.3M
94th pct Service Resta…
Avg gross sales
N/A
Royalty
5.0%
12th pct Service Resta…
Units
99
76th pct Service Resta…
SBA charge-off
N/A

Quick verdict · Quick-Service Restaurants · color = vs category peers

Total Investment
$1.1M – $2.3M
Median $486K
above median ↑, worse than category
Franchise Fee
$40K – $40K
Median $35K
above median ↑, worse than category
Liquid Capital Req'd
$150K – $450K
Median $33K
above median ↑, worse than category
Avg Revenue
Not disclosed
Franchisor makes none
Royalty Rate
5.0%
Median 5.5%
near median
Ongoing Fees
7.3% of rev
Median 7.5%
near median
SBA Charge-Off Rate
Under 10 loans (8)
Insufficient SBA coverage: 8 loans, rate hidden below 10
System Size
99 units
Median 18 units
above median ↑, better than category
Turnover Rate
5.1%
Median 0.0%
Territory
Protected, not exclusive
Limits on the franchisor opening nearby; not an exclusive zone
Owner-Operator
Required
You must run it yourself
Litigation
3 cases
Some history

Green = favorable by >10% vs Quick-Service Restaurants median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)

Data from public FDD filings and SBA records. Not financial advice. Methodology

Bottom line

  • COSTTotal investment $1.1M – $2.3M including a $40K franchise fee, 5.0% ongoing royalty.
  • RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
  • RISKVerdict B (Above average), verdict score 48/100 (higher is better).
  • GROWTHNegative: net -5 franchised outlets in the latest year (0 opened, 5 closed) (Item 20).
  • FLAGBankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.

Item 1 · who you're contracting with

The Franchisor

Corporate structure & franchisor financials
Legal entity
Best Cafe – Franchises, LLC
Parent company
Best Cafe, LLC
FDD Item 1, page 6 of the 2025 FDD
Ultimate parent
Sunil D. Dharod Revocable Trust
FDD Item 1, page 6 of the 2025 FDD
Predecessor
CBC Restaurant Corp.
Prior franchisor entity
CEO title
Chief Executive Officer
Chris Dharod
Incorporated in
Delaware
HQ
13355 Noel Road, Suite 1645, Dallas, Texas 75240
Auditor
Daniel P. Balley, CPA, PC
Audited financials
Franchisor revenue
$4.9M
vs $2.8M prior year

Independent franchisee associations

  • Franchise Advisory Council (FAC)

Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.

Affiliated brands

  • On Smile
  • Best Cafe Enterprises

Other brands the franchisor or its parent operates (Item 1).

Same owner · FDD Item 1, page 6

1 other brand on this site name Sunil D. Dharod Revocable Trust as parent or ultimate parent in their own FDD.

Grouped by the owner's name as each filing prints it (this page: the 2025 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.

Overview

About

CEO
Chris Dharod
Headquarters
Texas
Founded
2006
FDD year
2025
States available
11

Can you afford it, and what does the money buy?

Entry cost runs 253% above the typical quick-service restaurants franchise.

Total investment (Item 7)$1.1M – $2.3MCited, not corroborated — printed on page 18 of the 2025 FDD (Item 7). Nothing else in our record independently restates or re-derives it.
Franchise fee$40,000Verified — printed on page 11 of the 2025 FDD (Item 5), and another item of the same filing prints the same figure on a labelled row, which is an independent restatement.
Royalty5.0%Cited, not corroborated — printed on page 11 of the 2025 FDD. Nothing else in our record independently restates or re-derives it.
Ad fund1.3%Cited, not corroborated — printed on page 12 of the 2025 FDD (Item 6). Nothing else in our record independently restates or re-derives it.
Working capital$150K – $450K

Source: FDD 2025 · Items 5–7

Full Item 7 breakdown14 line items

Initial investment breakdown

Item 7 initial investment line items
Line itemLowHigh
Pre-Construction Costs$25K$144K
Construction Costs$450K$997K
Front of House Furniture, Fixtures & Equipment$40K$89K
Back of House Furniture, Fixtures & Equipment$208K$300K
Smallwares$23K$40K
Technology System$45K$65K
Catering Equipment$35K$45K
Real Property——
Initial Franchise Fee$40K$40K
Grand Opening Marketing$15K$15K
Training$40K$100K
Inventory$14K$25K
Security Deposits$5K$25K
Additional Funds – 3 Months$150K$450K
Total initial investment$1.1M$2.3M

Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.

Item 7 · what it costs to open + operate

The Vitals

Total investment
$1.1M – $2.3M
Bottom third — review vs category
Liquid capital req'd
$150K – $450K
Bottom third — review vs category
Franchise fee
$40K – $40K
Middle of category vs category
Royalty
5.0%
typical 6–8%
Ad fund
1.3%
typical 3–5%
Total fee load
7.3%
vs 9–13% typical

Ongoing fees · Item 6

Corner Bakery Cafe: Item 6 recurring fees
FeeAmount
Royalty5.0% of gross sales
Marketing / ad fund1.3% of gross sales
Technology fee$400
Training fee$40K
Transfer fee$4K
Renewal fee$20K
Inventory (initial)$14K – $25K
Total fee load7.3% of rev
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Blue values = direct from FDD (Item 7 investment, Item 19 revenue, Item 6 fees)Not set = no filing supplies it and we will not substitute one. Enter your own

Corner Bakery Cafe makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.

Returns model · single-unit ROIC

What would one Corner Bakery Cafe unit return on the cash you put in?

From FDDNot set — you supply itYou overrode an FDD value
Revenue · per unit, per yearnot set
Item 19 not disclosed. Enter your own revenue assumption
Franchisor take · royalty + ad fundFDD
typ 6–8%
typ 3–5%
Operating costs · not in any FDDnot set

Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.

Total invested capital · what you put in to openFDD
FDD Item 7: $1.1M–$2.3M (midpoint used)
FDD reports $150K–$450K

Unlevered ROIC · per unit

Your modelled return on total invested capital, before any debt financing.

—

An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.


Store EBITDA · annual
—
EBITDA margin
—
Total invested
$2.0M
Payback
—
Single-unit 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 point.

These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.

Item 19 · Source: 2025 FDD

Financial Performance

No financial performance representation

This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.

Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.

Showing the headline figures — all 116 extracted fields are in the Full FDD Report · $19 →

Operator outlook

What the numbers say

Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.

Fee burden

Total ongoing fee load of 7.3% (near the Quick-Service Restaurants median).

Disclosure

This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.

Operator retention

System contracting at -17.9% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.

Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.

vs Quick-Service Restaurants medians

How Corner Bakery Cafe Compares

Metric
Corner Bakery Cafe
Category median
vs median
Investment
$1.7M
$486Kmiddle half $342K–$748K · n=780
Above median, worse than category
Revenue
N/A
$975Kmiddle half $664K–$1.4M · n=284
N/A
Unit Count
99
18middle half 5–79 · n=755
Above median, better than category

Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.

Is the system healthy?

Total units99Verified — printed on page 51 of the 2025 FDD (Item 20), and the table's own arithmetic closes on it three ways.
3-yr growth-17.9% (worth scrutinizing)
Turnover rate5.1% (favorable vs category)

Source: FDD 2025 · Item 20

Unit growth

Item 20 · unit dynamics

The Growth Chart

Total units
99
Opened
0
Last reporting year
Closed
5
Terminated
0
Franchisor ended the franchise (per Item 20)
Non-renewed
0
Term expired, not renewed (per Item 20)
Turnover rate
5.1%
Company-owned
67
Corporate units in the system
% franchised
32%
vs corporate-owned
Net growth (3-yr)
-17.9%
Net unit change over 3 years
3-yr CAGR
-17.9%
Compounded over last 3 years

Last fiscal year · Item 20 exits and transfers

Terminated
0
Not renewed
0
Transferred
1
Ceased ops
5.1%
Units that stopped operating
2022
39
Franchised units
2023
37-2
Franchised units
2024
32-5
Franchised units

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

Item 20 · 14 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
Active operators · 14 states
No contacts on file

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.

Where the owners are · Item 20 owner list

37 current owners across 14 states.

  • TX 12
  • CA 6
  • CO 4
  • UT 4
  • WI 2
  • KS 1
  • KY 1
  • NM 1
  • NV 1
  • OK 1
  • OR 1
  • TN 1
  • +2 more states

Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.

Growth insight

A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.

SBA loan performance

Government records

SBA Loan Data

Aggregated from SBA loan disclosures. This brand has only 8 7(a) loans on file; statistical reliability is limited below 10 loans.

Total loans
8
Loan volume
$9.2M
Median loan
$1.4M
50th percentile
Charge-off rate
Under 10 loans (8)
Insufficient SBA coverage: 8 loans, rate hidden below 10

Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated

Repayment rate (PIF)
Under 10 loans (8)
5-yr charge-off
Under 10 loans (8)
Loans approved 2021+
Active lenders
8
Defaults
N/A

Explore lender portfolios on Bank Reports or regional data on State Reports.

What could kill this investment?

SBA charge-offUnder 10 loans (8)
Verdict score48/100 (higher is better)
Litigation3 cases
Auditor going-concern doubtNo (favorable vs category)

Source: SBA 7(a) FOIA · FDD Items 3, 21

Risk analysis

FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21

Risk & Legal

BAbove average48Verdict score 48/100

Rapidly shrinking system with litigation history, missing financial disclosures, and fraud-related allegations against franchise development leadership present substantial risk to franchisee capital.

High confidence±6 pts
4254

Litigation (Item 3)

Subject: the franchisor is a named party (defendant).

Three Item-3 matters disclosed: (1) Nerco, LLC et al. v. Voodoo Licensing Southern, LLC et al. (S.D. Ala.), a pending action involving VP of Franchise Development Thomas Harper's prior role, alleging fraud/breach; settlement conference scheduled April 2025. (2) State of Delaware ex rel. French v. Card Compliant, LLC et al. — qui tam gift-card action against predecessor CBC, settled 2018 ($700,000). (3) Buon Hospitality, Inc. v. CBC Restaurant Corp. et al. — franchisee FPR/fraud suit against predecessor, settled 2015 (CBC paid $974,498.52).

Bankruptcy (Item 4)

Subject: the company or an affiliate. Disclosed (Item 4 covers the last 10 years)

Audited financials (Item 21)

Yes · Daniel P. Balley, CPA, PC

Franchisor revenue (Item 21)

Yr 1: $4.9MYr 2: $2.8MNon-royalty: $0.2M

Franchisor entity revenue (not unit-level)

Audited financial statements are for Best Cafe - Franchises, LLC (the franchisor, "BCF"), a wholly owned subsidiary of Best Cafe, LLC; audited by Daniel P. Balley, CPA, PC (Plano, TX), opinion dated April 17, 2025, for FY ended Dec 31, 2024 and the period from formation (May 9, 2023) to Dec 31, 2023. However, the primary financial statement tables (Balance Sheets, Statement of Operations, Statement of Member Equity) did not capture in this OCR text - the numeric tables are blank - so total assets, total liabilities, member equity, revenue, and net income could not be extracted and are left null rather than guessed. Note: a $133,075,733 total-revenue figure appears in Item 7 but belongs to affiliate Best Cafe Enterprises, LLC (company-owned cafe operator), NOT the franchisor, so it was not used.

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 48 / 100 verdict

  1. 01MEDSystem contracting sharply: 13.5% unit decline YoY indicates deteriorating franchisee performance and franchisor support capacity
  2. 02HIGHPending litigation against VP of Franchise Development involving fraud allegations raises concerns about sales practices and disclosed financial projections to prospective franchisees
  3. 03MEDNo Item 19 financial performance representations disclosed — prevents validation of franchise profitability claims and suggests franchisor cannot substantiate unit economics
  4. 04HIGHTwo prior settled litigations involving gift card reporting and unauthorized financial performance representations indicate pattern of regulatory/disclosure issues
  5. 05MEDHigh capital requirement ($1.09M–$2.34M) combined with undisclosed average net income creates significant downside risk without transparency on returns
  6. 06MINOR5% royalty on gross sales (not net) reduces margins further and creates franchisor incentive misalignment during low-margin periods

Severity inferred from the FDD text · not a regulatory classification

Showing the headline figures — all 116 extracted fields are in the Full FDD Report · $19 →

Full litigation history from the FDD (Items 3 and 4) →

What are you signing up for?

Ongoing fees run about 7.3% of sales (royalty + ad fund), before rent and labor.

Initial term20 yrs
Renewal term10 yrs
TerritoryProtected, not exclusive
Initial training53 hrs

Source: FDD 2025 · Items 11, 12, 17

FDD Items 12, 15, 17 · continued from Risk & Legal

Contract & Territory Detail

Initial term20 years
Renewal term10 years
Allowed renewalsℹ2
Territory typeProtected territory
Protected territoryYes
Exclusive territoryℹNo
Territory radius3 mi
Online sales rightsℹRestricted
Franchisor can competeYes
Hire a manager?Allowed
Owner-operatorRequired
Non-compete (years)ℹ2 years
Non-compete (miles)ℹ10 mi
Right of first refusalℹYes
Transfer requires consentYes
Termination notice30 days
Termination groundsℹ2
Curable defaultsℹ4
Mandatory arbitrationNo
Arbitration locationTexas
Jury trial waiverYes
Governing lawTexas
Litigation count3
View Item 3 litigation summary

Three Item-3 matters disclosed: (1) Nerco, LLC et al. v. Voodoo Licensing Southern, LLC et al. (S.D. Ala.), a pending action involving VP of Franchise Development Thomas Harper's prior role, alleging fraud/breach; settlement conference scheduled April 2025. (2) State of Delaware ex rel. French v. Card Compliant, LLC et al. — qui tam gift-card action against predecessor CBC, settled 2018 ($700,000). (3) Buon Hospitality, Inc. v. CBC Restaurant Corp. et al. — franchisee FPR/fraud suit against predecessor, settled 2015 (CBC paid $974,498.52).

Items 10, 11

Training & Operations

Classroom training
53 hrs
On-the-job training
530 hrs
Training location
Dallas, Texas (Corporate Headquarters / company-affiliate Cafe)
Site selection
joint
POS system
computerized cash accounting and point of sale system
Operating tech stack

Items 5 & 11

Franchisor Support

✓Site selection assistance
✓Grand opening support
✓Lease negotiation help

Technology: computerized cash accounting and point of sale system

Item 20 · call current owners

Franchisee Contacts

37 owners to call

Name · phone · city · state. Extracted from FDD Item 20

Unlock 37 contacts · $49
Free preview
(956) 800-••••TX
Unlock all 37 contacts
(503) 536-••••OR
(915) 855-••••TX
(915) 584-••••TX
(915) 633-••••TX

Frequently asked questions

Frequently Asked Questions

How much does it cost to open a Corner Bakery Cafe franchise?

The total investment to open a Corner Bakery Cafe franchise ranges from $1.1M – $2.3M, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).

What do Corner Bakery Cafe franchise owners earn?

Corner Bakery Cafe makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.

Who owns Corner Bakery Cafe?

Corner Bakery Cafe is franchised by Best Cafe – Franchises, LLC. Its parent company is Best Cafe, LLC. The ultimate parent named in the FDD is Sunil D. Dharod Revocable Trust. Source: FDD Item 1, 2025 filing.

What is Item 19 in the Corner Bakery Cafe FDD?

The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Corner Bakery Cafe FDD and qualifies whose outlets they describe.

What is Corner Bakery Cafe's franchise failure rate?

SBA 7(a) loan charge-off data is not available for Corner Bakery Cafe (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.

How many Corner Bakery Cafe franchise locations are there?

As of their most recent FDD filing, Corner Bakery Cafe has 99 total units in the United States, including 32 franchised units and 67 company-owned units.

Is Corner Bakery Cafe a good franchise to buy?

FranchiseVerdict rates Corner Bakery Cafe as a B-grade franchise with a verdict score of 48 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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

Are you the franchisor?

If you represent Corner Bakery Cafe, you can request corrections or provide updated information.

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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.