Are you looking for the Cinnabon franchise? But have confusion about whether the Cinnabon franchise owner can make a good profit or not?
Then you are at the right place. In this article, we are going to discuss how much does a Cinnabon franchise owner make and the significant facts that define the profitability of the Cinnabon franchise. So, keep reading to learn more.
What Is Cinnabon?
Cinnabon is a small bakery known for its cinnamon rolls as well as various baked items like aromatic, beverages, and so on. Cinnabon was established in 1985 in Seattle, Washington’s SeaTac Mall.
After one year of founding, it started selling its franchising and opened its first franchise store in Philadelphia. Currently, it has more than 1100 outlets across the world.
Cinnabon offers two types of retail store franchise opportunities, and there is no huge difference between these two stores.
So they provide you the option of opening a store with limited items, and the second one is opening a store with a wide selection of Cinnabon products under the franchise agreement.
If you choose the limited item store, then it will require less investment. Additionally, the policies of a franchise are neither rigid nor flexible.
They provide training program and support to the new franchise but has some restriction also. Moreover, the direct financing option is not available, but they allow you to take third-party financing.
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How Much Does A Cinnabon Franchise Owner Make?
As per statistics, Cinnabon generates $143million in gross revenue, which was less than as compared to last year. Of course, the reason behind this decline was the lockdown and health crises.
However, the Cinnabon started recovering from it. They have started releasing new products and have started another location in Leeds, UK.
An individual Cinnabon Franchise owner can make $1.3 million per year through its sales, of which 15% is counted as profit. So the average profit is around $86,665.
However, this figure is not accurate, as Cinnabon never released the data related to the franchise owner’s profit.
So we calculated this data based on unofficial data, so there is a possibility that franchises can earn more or less than that.
What Is Cinnabon Known For?
Cinnabon makes the best cinnamon rolls in the world. It tastes delicious, and nobody can match the taste of these rolls.
They always use top-quality products and serve them fresh. Cinnabon’s menu has many delicious items, including:
- Classic Roll
- Caramel PecanBon
- Strawberries & Cream Chillatta
- Oreos & Cream Chillatta
- MochaLatta Chill
- Double Chocolate Mocha Chillatta
- Raspberry Lemonade
- Caramel Pecan BonBites
- Cinnamon Roll Cold Brew Iced Coffee
- Vanilla Cold Brew Iced Coffee
- Classic BonBites
Pros & Cons Of Cinnabon Franchise
Pros Of Cinnabon Franchise
- Recognized brand
- Global presence
- Types of the franchise store
- Provide training & support
- Grand Opening support
- A Franchise Business Consultant is available, and if you want, you can regularly visit to take consultation.
- Efficient bakery designed
Cons Of Cinnabon Franchise
- Limited Menu
- Does not offer direct financing
- Market Saturation
- High-level competition due to common niche
Is Cinnabon Franchise Profitable?
It is difficult to analyze Cinnabon’s profitability because they never release any data related to it. However, we can calculate the profitability on some market research.
The first thing is profit margin; Cinnabon sells baked items, which often have high margins, around 15%-50%.
Moreover, it also requires a high-cost investment, and the profit is always proportional to the cost of investment, which means there is a chance that profitability will be high.
Subsequently, the brand also has a high-global presence, and also, they sell basic bakery item which is always in high demand.
The sales of Cinnabon have never gotten down in any season. Even the sales are increasing day by day.
All these aspects have positive responsiveness, which shows that Cinnabon has the potential to make high profitability.
As we discussed above, Cinnabon offers franchise opportunities to entrepreneurs. They offer two types of franchise opportunities without any prior experience. Additionally, they provide a training program and support to enhance the business.
So, there is no rigorous interview method you need to follow for buying a Cinnabon franchise. You can easily buy this franchise.
But there are some restrictions directed by franchisors that franchisees must follow. The profitability of Cinnabon is also good.
A franchise owner can easily make a decent amount of income through its sales. And we didn’t see any major flaw in the Cinnabon franchise. It could be the best option for investing.
Still, we suggest that you read the Franchise Disclosure Document before buying any franchise: it will help you to make the right decision.
Frequently Asked Questions
How many Cinnabon franchises are there?
Cinnabon has more than 1100 outlets around the world.
What is the annual revenue of the Cinnabon Franchise?
An individual Cinnabon franchise owner makes approximately $86,665 annually.
How much does it cost to buy a Cinnabon franchise?
An initial investment required to open a Cinnabon Franchise is $23,100-$430,900.
Amit Gupta is the founder of DrFranchises. He has a keen interest in investments, and has thus far invested in a few franchises. Franchise businesses are his forte- he knows all there is to know about their space requirements, fees, ROI potential, and business models. This makes him an ideal candidate for anyone looking to invest in a franchise