Frequently Asked Questions
The Process
Q: How long does the franchisee approval process take?
A: Depending on a number of variables, including site availability, the process of opening a restaurant takes approximately six to twelve months from initial contact to store opening.
Q: What is the length of the franchise agreement?
A: The initial term of your Manhattan Bagel
® franchise agreement is ten years with an additional ten-year renewal option.
Q: Where can I find information on the franchisor's financial statements (i.e., copy of the Franchise Agreement, list of fees, royalties, initial franchise fees, etc.)?
A: Some information is provided in the Dollars & Fees section, and the details are all included in the Franchise Disclosure Document (FDD).
Dollars & Fees
Q: What will my initial investment be?
A: The estimated initial investment to develop and open a franchise location ranges from $521,300 to $778,850.
Q: What is your franchise fee?
A: $25,000 for a single restaurant.
Q: What is the franchising royalty fee?
A: The franchising royalty is 5% of gross sales.
Q: What are your advertising fees?
A: Up to 5% of gross sales.
Q: What is the minimum net worth and amount of cash/liquid assets required to open a franchise?
A: We require a minimum net worth of $450,000 with $225,000 in available liquid assets.
Q: Does Manhattan Bagel offer financing as part of the franchising process?
A: At this time, we do not. We do have a list of preferred lenders and we are registered with the Small Business Association (SBA). You may pursue financing options through any third party lender.
Markets & Locations
Q: How do I know which development areas are available and where the sites are within those markets?
A: We are developing in New Jersey, New York, Delaware and Eastern Pennsylvania. You can also refer to the Franchising Map page to see the states in which we are expanding. While we can't list specific locations within the framework of a cursory search, the site selection process helps you determine a site.
Q: What is the availability of opportunities in my state and/or region?
A: We are currently eligible to franchise in 37 states including the District of Columbia. However, our current focus is in New Jersey, New York, Delaware and Eastern Pennsylvania.
Q: Do you have any opportunities for international Manhattan Bagel franchises?
A: Our current development plan does not include international franchising.
Staff & Staffing
Q: Do I need to work in my stores on a daily basis?
A: No. However, each restaurant must have a full-time operating partner. We're talking about a qualified General Manager who has passed our certification requirements (see the Requirements page) on the premises at all times. You should, in addition, be prepared to manage and control your business on a daily basis.
Q: How many employees does it take to operate a Manhattan Bagel restaurant?
A: For an average crew, you can expect to hire 15 to 20 full-time and part-time employees.
Site Selection & Square Footage
Q: What should I look for in selecting a restaurant site?
A: The FDD outlines the basic site traits and demographics we seek for a restaurant location. Bear in mind this is a complex process and these are just the basics.
Q: What is the average size of a Manhattan Bagel franchise?
A: Restaurants range from 2,300-2,700 square feet.
Q: Are there restrictions for interior décor?
A: Our restaurants are decorated to defined system-wide specifications and must meet trade dress requirements.