Complete investment analysis based on official FDD data
Total Investment
$667,100 – $906,500
Franchise Fee
$45,000
Royalty Rate
6.0%
The total initial investment to open a Nothing Bundt Cakes franchise ranges from $667,100 to $906,500, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $45,000.
Midpoint estimate: $786,800
$45,000
One-time initial fee
The Nothing Bundt Cakes 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 Nothing Bundt Cakes brand and is included in the total initial investment range above.
Royalty Fee
6.0%
of gross revenue
Ad/Marketing Fund
5.0%
of gross revenue
Total Ongoing Fee Burden: 11.0% of gross revenue
Combined royalty and advertising fund contributions before any other fees.
| Fee Type | Rate | Type | Notes |
|---|---|---|---|
| Royalty | 6.0 | PCT | Due on Tuesday of each week on Net Revenues during previous week ending Sunday. Net Revenues include all revenue from operating the Bakery including delivery, shipping, E-Commerce revenues, third-party delivery provider payments, and National Accounts sales. Excludes taxes collected and paid to authorities, documented refunds, credits, allowances, and charge-backs. Paid by EFT. |
| Marketing Production Fund | 5.0 | PCT | Combined contributions for Production Fund and Paid Media Fund total 5% of weekly Net Revenues. Due on Tuesday of each week. Paid by EFT. Allocations between Production Fund and Media Fund set by franchisor and subject to change. Local Cooperative Fund contributions credited towards Production Fund requirement. |
| Paid Media Fund | 5.0 | PCT | Combined contributions for Production Fund and Paid Media Fund total 5% of weekly Net Revenues. Due on Tuesday of each week. Paid by EFT. Allocations between Production Fund and Media Fund set by franchisor and subject to change. |
| Training for Additional or Replacement Operators | 2500.0 | FIXED | Due at beginning of training. Franchisee must also pay all expenses trainee incurs including travel, lodging, meals and applicable wages. Initial training for two people provided at no cost. Fee could increase if franchisor costs increase. |
| Additional Training or Assistance during Franchise Term | 300.0 | FIXED | $300 per trainer per day plus expenses for training at franchisor location; $500 per day plus expenses for training in franchisee territory. A day is 8 hours of work. Travel time billed separately on hourly basis. Due when training begins. Could increase if costs increase. |
| Renewal | 50.0 | PCT | 50% of then-current Initial Franchise Fee due upon request for renewal of franchise. |
| Transfer in the event of a sale of the Bakery | 10000.0 | FIXED | $10,000 transfer fee plus $5,000 for transfer opening advertising campaign plus any broker fees or commissions franchisor incurs. Due upon request for transfer. Franchisor approval required. |
| Transfer of the ownership interests of franchisee | 5000.0 | FIXED | $5,000 plus any broker fees or commissions franchisor incurs. Due upon request for transfer. Could increase if costs increase. Applies to transfer of ownership interests in corporation, LLC or partnership. |
| Guest Experience Monitor (GEM) | 462.0 | FIXED | Payable by EFT as reimbursement to franchisor. Presently not charged or collected but subject to change at any time. |
| Operational Evaluation Fee | 300.0 | FIXED | Per diem fee plus reimbursement of costs and expenses. Due on demand. Applies if serious Guest infraction or mystery shopper program infraction reported. Could increase if costs increase. |
| Prohibited Product or Service Fee | 250.0 | FIXED | $250 per day of use of unauthorized products or services. Due if incurred. In addition to other remedies. Must cure immediately upon notification. |
| Insurance | 18.0 | PCT | Reimbursement of costs plus 18% administrative fee. Due if incurred. Applies if franchisee fails to maintain required insurance coverages. |
| POS System Ongoing Fees for support and software | 3348.0 | FIXED | Paid to designated vendor. Covers POS System support and software updates. Fee subject to change. |
| Online Ordering | 100.0 | FIXED | Monthly fee for E-Commerce Program participation excluding third-party charges such as credit card processing, Google Maps, etc. Paid by EFT. Subject to increases. |
| Remodeling of Bakery | N/A | VARIABLE | Costs vary. Due as incurred. Franchisor may require remodeling/redecorating upon written notice. |
| Insufficient Funds, Interest, Late Fees, Collection Costs, and Default | 50.0 | FIXED | $50 per late payment plus 18% interest or highest lawful commercial rate; cost of audit if understate fees by more than 2%; $500 per diem plus expenses if franchisor operates Bakery upon default. Due when billed. Late fees doubled every 30 days subject to legal maximum. Franchisee pays attorney fees. |
| Liquidated Damages | N/A | VARIABLE | Due within 15 days after termination for cause. Maximum $125,000 per Bakery. Calculated based on average Royalties and Contributions for 24 months preceding termination multiplied by 26 four-week periods or remaining term weeks, whichever is shorter. Compensation for Brand Damages only. |
| Site Evaluation | 500.0 | FIXED | $500 plus travel, meal and lodging expenses. Due on demand. One site evaluation provided at no cost. Additional evaluations billed at per diem rate plus expenses. |
| Fee for Unauthorized Sales | 500.0 | FIXED | Remit 100% of Net Revenues from sale to franchisee owning territory plus $500 contribution to Fund per incident. Due on demand. Franchisor has right to terminate for territorial violations. |
| Real Estate Review and Coordination Expenses | 3000.0 | FIXED | Covers costs for site selection and non-legal lease review. Due on demand. Could increase if costs increase. |
| Audit Fee | N/A | VARIABLE | Cost of audit plus expenses including travel, lodging, wages, accounting and legal costs. Due when billed. Payable only if audit reveals understatement of Net Revenues or fees by more than 2%. |
| Financial Accounting Fee | 100.0 | FIXED | Covers cost of financial reporting site for System. Could increase if costs increase. Presently not charged or collected but subject to change at any time. |
| Master Architect Program Fee | 750.0 | FIXED | Due on demand. Applies if franchisee uses architect outside approved vendor list. Covers final plan review by designated architect. Franchisee responsible for all plan revision costs. Also $750 fee for preliminary floor plan with up to three revisions (see Item 5). |
| Refrigeration Monitoring Fee | 30.0 | VARIABLE | Activation fee $500-$600 plus monthly fee $20-$40. Paid to designated vendor. Franchisor may require payment directly to franchisor or affiliate. Subject to change. |
| Monthly Music Fee | 32.0 | FIXED | $20 per month for music service plus $12 per month for media player lease. Total $32 monthly. Paid to designated vendor. Subject to change. |
| Digital Menu Board Service | 35.0 | FIXED | Monthly service fee for digital menu board. Paid to designated vendor. |
| VoIP Phone Service | 100.0 | FIXED | $100 per month plus applicable taxes. Paid to designated vendor for phone equipment and service. Could increase if costs increase. |
| Technology Services Fee | N/A | VARIABLE | Monthly service fee for technology solutions and development of System support site features. Amount will vary. Presently not charged or collected but franchisor reserves right to charge in future. Subject to change at any time. |
| Failure to Maintain Insurance Fee | 18.0 | PCT | Premium plus 18% of cost of insurance. Due as incurred. Applies if franchisee fails to comply with minimum insurance requirements. |
| Local Cooperative Fund | N/A | VARIABLE | If franchisor designates a Cooperative Fund for Territory, franchisee must participate. Contributions credited towards Production Fund requirement. Must be spent monthly. |
Category
Bakery
System Size
643 units
Franchise Score
out of 100
Nothing Bundt Cakes operates a bakery franchise specializing in premium bundt cakes with various flavors and customization options. The brand provides a focused product offering with high-quality ingredients and convenient cake delivery.
Median Revenue
$1,503,426
per year, per location
Mean Revenue
$1,480,010
per year, per location
Estimated Owner Profit
$396,904
per year
Profit Margin
26.4%
of revenue
Estimation method: disclosed
Estimated ROI (Simple Payback): 2.0 years
Based on midpoint investment of $786,800 and estimated annual owner profit of $396,904.
Avg. Annual Closure Rate
0.0%
Low risk — below industry average
Net Unit Growth
+235 units
From 2022 to 2024
| Year | Start | Opened | Closed | Transfers | End |
|---|---|---|---|---|---|
| 2022 | 408 | — | — | — | 459 |
| 2023 | 459 | — | — | — | 542 |
| 2024 | 542 | — | — | — | 643 |
Based on the FDD data, here is a data-driven snapshot of the Nothing Bundt Cakes franchise opportunity:
Overall Score
90/100
Strong opportunity
Est. Payback Period
2.0 yrs
Fast payback
Risk Level
Low
0.0% annual closure rate
Nothing Bundt Cakes scores well across our evaluation criteria, indicating a strong franchise system. With median unit revenue of $1,503,426 and a combined fee burden of 11.0% 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 Nothing Bundt Cakes franchise intelligence report with risk analysis, deal-breaker alerts, and detailed financial projections.
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