Panera Bread franchise
Panera Bread is a bakery-cafe chain serving sandwiches, salads, soups, bread bowls and pastries baked in-house, plus coffee. It sells franchises through area development agreements, so buyers commit to opening several bakery-cafes in a region. At the end of 2025 there were 2,214 Panera Bread locations in the US, 1,106 franchised and 1,108 company-owned, so most are run by the company itself.
- Cost to open
- $1.34M–$4.57M
- Franchise fee
- $50,000
- Royalty
- 5%
- Locations, 2025
- 2,214+17 in 3 yrs
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Company snapshot
- Franchisor based in
- Fenton, Missouri
- Agreement length
- 20 years
- Financing
- None offered
From Panera, LLC’s 2026 filing.
How much a Panera Bread franchise costs
Opening a Core-format Panera Bread bakery-cafe, excluding real estate costs an estimated $1,337,139 to $4,569,880. That covers the franchise fee and everything else needed to open, through the first months of working capital.
Source: Panera, LLC, 2026 filing, page 22
Panera Bread franchise fee
The franchise fee is $50,000, for a Core or Small Box bakery-cafe ($25,000 for a non-traditional one). You pay it when you sign the franchise agreement.
Source: Panera, LLC, 2026 filing, page 15
Royalty and ongoing fees
| Royalty | 5% of net sales, paid each reporting period. |
|---|---|
| Brand or marketing fund | 4% of net sales to the national advertising fund (2.6% for non-traditional), plus 2% for local advertising. |
Source: Panera, LLC, 2026 filing, page 16
Sales and earnings
Shares figures Panera Bread publishes sales or earnings figures for its locations: 1,073 franchisee-owned bakery-cafes averaged $2,541,217 in net sales in fiscal 2025. The full tables, with notes on which locations are counted, are in its filing.
Source: Panera, LLC, 2026 filing, page 63
Locations opened and closed
| Year | Franchised | Company-owned | Closed |
|---|---|---|---|
| 2023 | 1,113 (+24) | 1,038 | 23 |
| 2024 | 1,105 (−8) | 1,080 | 32 |
| 2025 | 1,106 (+1) | 1,108 | 32 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
Source: Panera, LLC, 2026 filing, page 65
How Panera Bread compares
Of the 8 bakery franchises on this site, Panera Bread is the most expensive to open and the 2nd largest by number of locations.
| Measure | Panera Bread | Typical bakery |
|---|---|---|
| Cost to open, low end | $1.34M | $496K |
| Royalty | 5% | 6% |
| Closed or left per year | 2.6% | 2.1% |
| Change in franchised locations, 3 yrs | +1.6% | +23.8% |
| Shares earnings figures | Yes | 8 of 8 |
Typical is the median across the 8 brands in bakery franchises.
Other bakery franchises
Panera Bread franchise questions
Does Panera Bread help with financing?
No. Panera Bread does not offer financing or guarantee loans or leases, so buyers arrange their own, usually a bank or SBA loan.
How long is a Panera Bread franchise agreement?
The initial term is 20 years. Renewal is usually possible if you're in good standing, often for a fee and a remodel.
Is Panera Bread growing or shrinking?
Over the last 3 years 104 franchised locations opened and 87 closed or left, a net change of +1.6%. About 2.6% of locations closed or left each year. That is in line with the 2.1% typical for bakery franchises.
How does Panera Bread compare with other bakery franchises?
Of the 8 bakery franchises here, Panera Bread is the most expensive to open (low end $1.34M against a $496K median) and the 2nd largest by number of locations. Its 5% royalty is below the 6% median.
Does Panera Bread say how much franchisees make?
Yes: 1,073 franchisee-owned bakery-cafes averaged $2,541,217 in net sales in fiscal 2025. Your results can differ; the filing explains which locations are counted.
Where is Panera Bread based?
Panera, LLC is based in Fenton, Missouri.