Jeff's Bagel RunFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Jeff's Bagel Run franchise requires a total initial investment of $576K – $998K, including a $30K franchise fee and an ongoing 6.0% royalty[2]. Per the 2026 FDD, average unit revenue was $1.2M[2]. Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $576K – $998K
- 87th pct Service Resta…
- Avg gross sales
- $1.2M
- 39th pct Service Resta…
- Royalty
- 6.0%
- 44th pct Service Resta…
- Units
- 25
- 50th pct Service Resta…
- SBA default
- N/A
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
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
The franchisor's auditor raised doubt about continued operations. This is a serious risk signal.
19% cash-on-cash return. Within the 15-30% range most franchise investors consider acceptable.
Bottom line
- Total investment $576K – $998K including a $30K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $1.2M/year, with an estimated 19% cash-on-cash return.
- Verdict F (Bottom Quintile) with a risk score of 79/100.
- Auditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- JBR Franchise Co
- Parent company
- Jeff’s Bagel Run Holdings Co
- Incorporated in
- FL
- HQ
- 4190 Millenia Boulevard, Orlando, Florida 32839
- Auditor
- WithumSmith+Brown, PC
- Audited financials
- Franchisor revenue
- $0
- Most recent fiscal year
- ⚠ Going-concern note
- Disclosed in FDD 2026
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Affiliated brands
- JBR Supply Co
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate quick-service bagel shops serving fresh bagels, spreads, and complementary beverages to breakfast and lunch customers. Day-to-day operations include bagel production, customer service, inventory management, staffing coordination, and local marketing within a protected territory.
- CEO
- Justin Wetherill
- Headquarters
- FL
- Founded
- 2023
- FDD year
- 2026
- States available
- 6
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $58K | $85K |
| Equipment, build-out, other | $488K | $883K |
| Total initial investment | $576K | $998K |
Source: Jeff's Bagel Run 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$164K
14.0% margin
Unlevered ROIC
19%
EBITDA / total invested capital
Payback
5.2 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $576K – $998K
- Below avg, review vs category
- Liquid capital req'd
- $58K – $85K
- Below avg, review vs category
- Franchise fee
- $20K – $30K
- Better than avg vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
- Payback period
- 5.3 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Transfer fee | $8K |
| Renewal fee | $3K |
| Inventory (initial) | $9K – $13K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $1.2M
- Per unit, per year
- Median gross sales
- N/A
- Avg net income
- $148K
- Cash-on-cash
- 18.7%
- Based on Net Income / investment midpoint
- Item 19 type
- Actual
- Sample size
- 6 units
- vs category median 28 · small
- Range (low → high)
- $807K→$1.4M
- Cohort dispersion (min → max)
- Transparency tier
- limited
- Categorical assessment of disclosure depth
- Reporting year
- 2025
- Fiscal year the figures cover
- Transparency
- 9 / 5
- vs category median 4 / 5 · above
Compared against 453 Quick-Service Restaurants brands
vs Quick-Service Restaurants averages
How Jeff's Bagel Run Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 25
- Opened
- 13
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 11
- Corporate units in the system
- % franchised
- 56%
- vs corporate-owned
3-year detail · Item 20
- Opened (3yr)
- 2
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 11 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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $1.2M
- Median loan
- $618K
- 50th percentile
- Charge-off rate
- N/A
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
- N/A
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Jeff's Bagel Run's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 2 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 2-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage bagel franchise with extreme unit growth, unverified financial claims, thin margins, and high capital requirements presents elevated risk despite no litigation or going concern issues.
Litigation (Item 3)
0 case reference(s): 1 pending, 0 settled.
Largest disclosed settlement: $348,763
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · WithumSmith+Brown, PC⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 79 / 100 rating
- 01MINORExplosive unit growth of 1300% YoY suggests either brand-new franchise system or unsustainable expansion; lack of historical data makes validation difficult
- 02MINORNet income of $162,392 on $1,168,032 revenue represents only 13.9% net margin — below industry standards for QSR bagel concepts, raising profitability sustainability questions
- 03MINORHigh investment range ($575K–$998K) combined with modest average net income creates 3.5–6.1 year breakeven timeline with no margin for error
- 04MEDOnly 25 units in system creates limited franchisee reference pool and suggests early-stage franchise with unproven scalability and support infrastructure
- 05MEDNo Item 19 (financial performance representations) disclosed; franchisor is not substantiating the $1.17M revenue and $162K net income claims with audited data
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 | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | Radius or Population |
| Protected territory | Yes |
| Territory population | 50,000 |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 10 days |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Florida |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 1 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 8 hrs
- On-the-job training
- 72 hrs
- Training location
- On-site and corporate
- Site selection
- franchisee
- POS system
- Au-dough-mation
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Au-dough-mation
Item 20 · call current owners
Franchisee Contacts
36 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Jeff's Bagel Run · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Jeff's Bagel Run franchise?
The total investment to open a Jeff's Bagel Run franchise ranges from $576K – $998K, 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 Jeff's Bagel Run franchise owners earn?
According to Item 19 of the Jeff's Bagel Run FDD, the average gross sales per unit is $1.2M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Jeff's Bagel Run's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Jeff's Bagel Run (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 Jeff's Bagel Run franchise locations are there?
As of their most recent FDD filing, Jeff's Bagel Run has 25 total units in the United States, including 2 franchised units and 11 company-owned units. 13 new units were opened in the latest reporting year.
Is Jeff's Bagel Run a good franchise to buy?
FranchiseVerdict rates Jeff's Bagel Run as a F-grade franchise with a risk score of 79 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.
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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.