Complete investment analysis based on official FDD data
Total Investment
$298,145 – $979,639
Franchise Fee
$35,000
Royalty Rate
5.0%
The total initial investment to open a Great Harvest franchise ranges from $298,145 to $979,639, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $35,000.
Midpoint estimate: $638,892
$35,000
One-time initial fee
The Great Harvest franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the Great Harvest brand and is included in the total initial investment range above.
Royalty Fee
5.0%
of gross revenue
Ad/Marketing Fund
2.5%
of gross revenue
Total Ongoing Fee Burden: 7.5% of gross revenue
Combined royalty and advertising fund contributions before any other fees.
| Fee Type | Rate | Type | Notes |
|---|---|---|---|
| Royalty | 5.0 | PCT | Payable weekly, Tuesday for prior calendar week. See footnote 1 for Gross Sales definition. |
| Required Minimum Expenditure for Local Marketing and Advertising | 1.0 | PCT | Monthly. Payable to third parties. All advertising must be pre-approved by franchisor. If minimums are not met, franchisor may collect amounts and (i) conduct local advertising on your behalf (charging a $1,000 administrative fee) or (ii) deposit into the Brand Fund. |
| Administrative Fee to Implement your Local Advertising | 1000.0 | USD | Payable to franchisor if they conduct local advertising on your behalf due to unspent minimums. |
| Brand Fund Contribution | 2.5 | PCT | Payable weekly, Tuesday for prior calendar week. Paid directly to the Brand Fund. See footnote 2. |
| Advertising Cooperative | N/A | USD | As determined by cooperative. No cooperatives established as of FDD date. Mandatory to join if formed. |
| Late Charge | 200.0 | USD | If you fail to pay any amount when due, or fail to submit Gross Sales report when due. |
| Interest Charge | 12.0 | PCT | 12% of overdue amount or the maximum permitted by law, whichever is lower. As incurred. |
| Insufficient Funds Fee | 50.0 | USD | As incurred. If check is returned or electronic funds transfer denied for non-sufficient funds. |
| Relocation Fee | 5000.0 | USD | Due if franchisor approves request to relocate Great Harvest outlet. |
| Successor Term Fee | 7500.0 | USD | Payable to franchisor. See Item 17. |
| Transfer Fee – Franchise Agreement | 75.0 | PCT | Upon request for approval of transfer. Reduced to 50% for existing franchisee in good standing, $1,500 for entity owned/controlled by franchisee not changing management, or $3,500 for spouse/parent/child upon death/permanent disability. |
| Initial Training | 2500.0 | USD | Fees for training additional personnel are due prior to commencement of training. Franchisee pays travel costs. |
| Additional Training - Courses | 500.0 | USD | As incurred. Subject to increase to no more than actual charge by third-party provider. Franchisee pays travel and related expenses. |
| Additional Training – Franchisee Convention or Business Meeting | 1000.0 | USD | As incurred. Subject to increase to no more than actual charge by third-party convention provider. Franchisee pays travel and related expenses. |
| Remedial Training Fee | 500.0 | USD | As incurred. Our then-current per diem rate for each trainer, plus travel and other expenses. Imposed if franchisee requests additional training or operates below standards and is required to have additional training. |
| Interim Management Support Fee | 500.0 | USD | As incurred. Plus our representative(s)’ wages, travel and living expenses. Imposed if franchisor provides management of your Franchised Business. |
| Architect’s Review Fee | 2500.0 | USD | If you choose to use your own architect, we may charge a fee for our architect to review your plans. |
| Contractor Management Services | 2500.0 | USD | If you choose to use your own contractor, we may charge a fee for our preferred contractor to inspect work. |
| System Technology Fee | N/A | USD | Monthly. To offset cost of new or improved technology for the benefit of the System. |
| Examination of Books and Records | N/A | USD | As incurred. If examination reveals understatement of Gross Sales by 2% or more, you pay audit cost, travel, and interest. |
| Operational Standards Violation Fee | 50.0 | USD | Ranges from $50 to $500 per occurrence. Payable to franchisor. |
| Evaluation Fee of Unapproved Item or Supplier | N/A | USD | As incurred. Payable to franchisor. |
| Quality Review Services - Inspections | 700.0 | USD | As incurred. Payable to third-party providers for Back of House (kitchen) inspection. Up to twice per year, or more if quality control issues are found. |
| Quality Review Services – Mystery Shoppers | 250.0 | USD | As incurred. Payable to third-party providers for customer service evaluations. |
| Insurance Reimbursement | N/A | USD | As incurred. You must reimburse us for costs incurred due to your failure to meet insurance obligations. |
| Liquidated Damages – Default and Termination of Franchise | N/A | USD | Upon termination of the Franchise Agreement due to your default, in a lump sum. Calculated as average monthly Royalty Fee and Brand Fund Contribution for the 12 months prior to default, multiplied by the lesser of 24 months or remaining term months. |
| Liquidated Damages – Breach of Confidentiality or Non-Competition Covenant | 100000.0 | USD | $100,000, plus our attorney’s fees. |
| Indemnification | N/A | USD | As incurred. See footnote 6. |
| Reimbursement of fees and expenses | N/A | USD | As Incurred. Payable to franchisor. |
| Taxes | N/A | USD | When incurred. You must reimburse us for any taxes we must pay to any taxing authority on account of your Franchised Business or payments you make to us. |
Category
Bakery
Franchise Score
out of 100
Median Revenue
$1,582,815
per year, per location
Mean Revenue
$948,105
per year, per location
Estimated Owner Profit
$197,852
per year
Profit Margin
12.5%
of revenue
Estimation method: benchmark
Estimated ROI (Simple Payback): 3.2 years
Based on midpoint investment of $638,892 and estimated annual owner profit of $197,852.
Avg. Annual Closure Rate
3.1%
Moderate risk — near industry average
Net Unit Growth
-16 units
From 2022 to 2024
| Year | Start | Opened | Closed | Transfers | End |
|---|---|---|---|---|---|
| 2022 | 175 | — | -6 | — | 169 |
| 2023 | 169 | — | -9 | — | 160 |
| 2024 | 160 | — | -1 | — | 159 |
Based on the FDD data, here is a data-driven snapshot of the Great Harvest franchise opportunity:
Overall Score
60/100
Moderate opportunity
Est. Payback Period
3.2 yrs
Average payback
Risk Level
Medium
3.1% annual closure rate
Great Harvest shows a moderate score across our evaluation criteria. Careful due diligence is recommended. With median unit revenue of $1,582,815 and a combined fee burden of 7.5% of gross revenue, prospective franchisees should model their own financial projections carefully. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.
Get the full Great Harvest franchise intelligence report with risk analysis, deal-breaker alerts, and detailed financial projections.
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