If you are thinking of launching a new business, and if the business you want to start is a bakery, you should consider opening an 85°C Bakery.
They have an important franchise program that is a great opportunity for anyone interested.
The advantage of joining the 85 °C Franchise is awesome: you are provided resources and support, and you can exploit a well-known brand name that people are already familiar with.
As always happens with a franchise business, the main advantage is that you don’t have to start from zero. You’d reach higher income and success quicker.
Do you want to know more about the 85 °C Franchise before starting? Just keep on reading our guide!
About 85 °C Franchise
85°C Bakery Cafe is a Taiwanese chain of retailers that sells foods like cakes and desserts and drinks like coffee or tea.
Although it was founded in Taiwan, the brand spread through USA and Australia, and it is well known in these countries as well.
History of 85 °C Bakery Cafe
The 85 °C company was founded in January 2003 by Wu Cheng-Hsueh. In July 2004, they were able to open their very first shop in Bao-Ping.
Why did Wu name his bakery 85 °C? Because he believes that 85°C is the required temperature to serve the perfect coffee.
Very soon, the company started opening new retailers in Taiwan, and in 2006, they were already opening their first bakery in Australia.
After that, they opened new retailers in China, Hong Kong, and then the United States.
In March 2017, an 85°C Bakery in the USA earned an important record: the bakery in Brea, California, was the first facility that was entirely powered by solar energy.
Today, the 85°C Franchise company runs about 1000 stores, and they are spread in Taiwan, China, Hong Kong, Australia, and the USA.
85 °C Franchise: Business Model
The 85 °C company is a franchise. It offers a limited number of franchise opportunities, but it’s open to getting into business with investors and entrepreneurs.
If you are interested in joining the 85°C families, you can submit your request to the company, and they’ll send more information about all the documentation that you need to provide.
|Cost Or Fees
|$35,000 or more
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Interested In 85 Degree Franchise?
How Much Does It Cost To Open An 85 °C Franchise Bakery?
If you want to open an 85°C Franchise Bakery, the first thing you need to do, as mentioned, is contact the main company with your submission.
They’ll reach out to you and will require further info and documentation from you.
You’ll start discussing your deal, and once you obtain their authorization, you can open your 85°C Bakery.
The initial investment includes two main expenses: the one related to shop rent, furniture, inventory, and the initial franchise fee.
Bakeries don’t need to be large, so you can rent a small local that has cheap rent. Then, you’ll need to furnish it.
Plus, you’ll need to pay the initial franchise fee, which is about $15,000. Keeping everything into account, you can estimate an initial investment of $35,000 for a small 85 °C Franchise Bakery.
85°C Franchise Revenue & Profit
The revenue and profit of 85 °C Franchise varies based on the size, location, franchise model, operating expenses, etc.
However, 85 °C has not revealed the revenue and profit of its franchises.
But it is estimated that 85 °C as a company makes estimated revenue of $135M per year.
And if we assume a profit margin of 15% as per the industry standard, then 85 °C franchise owners make $202,500 in profit per year on average.
|Percentage of Revenue
|Individual Franchise Annual Revenue
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|Cost of Goods Sold (COGS)
Note: The displayed expenses are estimates based on industry averages and standard costs. Actual expenses may vary due to factors like location, business size, and market conditions. We recommend conducting detailed research or consulting with a financial advisor for a tailored financial analysis.
As mentioned, the 85 °C Franchise Company is only open to a limited number of franchise submissions.
They evaluate every case singularly, but they have made clear that they only give opportunities to passionate people who have some experience in multi-unit restaurant management.
Furthermore, they look for leadership skills that allow the candidate to run large teams. Knowledge of the targeted audience is also required.
Training and Support
85°C offers great support to those who are selected to join the 85 °C families.
Every franchise receives the same support that every store directly owned by the company receives.
It means you’ll be able to count on experts, information about furnishing and inventory, and more.
Obligations & Restrictions
You can open an 85°C Bakery only if you obtain authorization from the main franchise company. Otherwise, you can’t exploit the brand name in any way.
If you become part of the 85°C franchise family, you can use the 85°C Bakery name in your store and products.
However, you’ll need to respect the company’s quality standards. They will be communicated to you when you discuss the franchise deal with the company.
Term Of Agreement & Renewal
The terms of agreements and renewal are discussed during the franchise deal.
You can obtain a license that only lasts for some years or an everlasting license. The franchise fee can change according to that.
If you obtain a license, for example, for 10 years, the moment you renew it, you’re going to be asked an additional franchise fee that covers the following years of the deal.
On default, 85 °C Franchise doesn’t offer financial assistance.
Comparison Franchise: 85 °C VS Shipley Do-Nuts
|Number of Outlets
If you already have some experience in the sector and you want to open a bakery, becoming a partner with the 85 °C Franchise is a great opportunity.
The brand is already well-known and appreciated, so it won’t be hard to earn the client’s trust.
85 °C Franchise: FAQ
Are 85 °C a franchise or a chain?
85 °C is both: some of their stores are owned directly by the company. Some are owned by third-party entrepreneurs that get a franchise license.
Who is the owner of the 85 °C Franchise?
Wu Cheng-Hsueh, the founder of the company, is still its owner.
How many 85°C Bakeries are there?
There are about 1000 bakeries spread throughout the USA, Australia, Taiwan, Hong Kong, and China.
Is the 85 °C Franchise a good investment?
The initial investment is high but not over the moon. The brand is so well-established that it won’t take long for the new business to kick in.
Is the 85 °C Franchise worth it?
The 85 °C Franchise is totally worth it because it allows you to become the owner of an 85°C bakery.
The initial investment can be quickly retrieved with high income that will soon start arriving.
Amit Gupta is an experienced expert in digital marketing and co-founder of DrFranchises. With more than 11 years of knowledge in franchise digital marketing, SEO, email marketing, and social media marketing, Amit has helped many brands achieve incredible success online. As a passionate entrepreneur and owner of 7 franchises, he continues to study franchise models, looking at costs, revenue, and profitability to guide brands toward profitable growth. When he’s not working on digital marketing, Amit enjoys spending time playing with his beloved dog.