Wetzel's Pretzels Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$40,000
Investment required
$61,000 - $838,000
Royalty fee
5% to 7%

Wetzel's Pretzels: A Promising Franchise in the Fast-Casual Snack Food Market

Established in 1994 and launched as a franchise the same year, Wetzel's Pretzels offers a business model that caters to the demand for on-the-go snacks, featuring flexible location formats and straightforward operations.

Headquartered in Pasadena, California, the franchise is renowned for its hand-rolled pretzels and lemonade, combined with a versatile franchise model that suits various settings. Wetzel's Pretzels provides an attractive franchise opportunity for entrepreneurs looking to enter the fast-casual snack food sector.

The franchise prides itself on being fun and simple to manage, requiring fewer employees and offering convenient operational hours. Its market availability, prominent presence in high-profile venues, and experienced leadership team further enhance its appeal for franchisees.

Wetzel's Pretzels seeks to expand across a wide range of locations, including malls, outlet centers, and high-traffic areas. The franchise is also open to exploring new growth markets and available territories across various states​​.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Wetzel's Pretzels offers 4 types of franchises:

Type of WETZEL’S PRETZELS Initial Investment
Single WETZEL’S PRETZELS Bakery $178,500 - $689,750
WETZEL’S PRETZELS Remote Mobile Unit $61,000 - $143,500
Single TWISTED BY WETZEL’S $585,500 - $838,250
WETZEL’S PRETZELS Concession Truck or Trailer $173,625 - $317,800

We are summarizing below the main costs associated with opening a single TWISTED BY WETZEL’S franchise.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Single TWISTED BY WETZEL’S Franchise

Type of Expenditure Amount
Initial Franchise Fee $30,000 - $40,000
Lease Review Fee $3,500 - $7,000
Business Premises $5,000 - $20,000
Leasehold Improvements $400,000 - $515,000
Food Preparation Equipment $90,000 - $110,000
Tables, Counters, Chairs and Waste Receptacles $2,500 - $5,000
Utility Deposits, Licenses, Permits $500 - $8,000
Insurance $500 - $2,500
Signs & Menu Boards $5,000 - $20,000
Digital Display Boards $5,000 - $7,500
POS System $500 - $900
Initial Inventory & Smallwares $7,500 - $15,000
Training Fee for Additional Trainee $0 - $750
Training Expenses $1,000 - $2,000
Grand Opening Advertising $3,000 - $7,500
Office Equipment & Supplies $500 - $2,500
Professional Fees $1,000 - $3,100
Architect Engineers & Const. Manager $10,000 - $18,000
Additional Funds - first 90 days $20,000 - $53,500
Total $585,500 - $838,250

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Number of units

2024
Franchised units

310

322

346

Company-owned units

33

38

40

Total units

343

360

386

Franchise Disclosure Document

Training 

Wetzel's Pretzels provides a comprehensive training program for new franchisees. The training is structured in two main parts:

  1. Corporate Headquarters Training: This is a one-week program held at Wetzel's Pretzels' corporate headquarters. Known as the LEAD training program, it covers essential aspects of the business, including operations, customer service, and product preparation. The program aims to equip franchisees with the knowledge and skills needed to run their store effectively.
  2. In-Store Training: Following the corporate training, franchisees spend an additional week in an existing Wetzel's Pretzels store. This hands-on experience allows them to apply what they've learned in a real-world setting, focusing on practical skills and daily operations.

Territory Protection

Wetzel's Pretzels provides franchisees with a "Protected Area," which is defined based on the location's urban, suburban, light suburban, or rural/second city characteristics. The size of this area varies, typically ranging from one mile in urban areas to up to five miles in rural or second city locations, depending on the population density within a three-mile radius.

Scope and Limitations

This Protected Area is intended to prevent the franchisor from authorizing any other company-owned or franchisee-operated TWISTED BY WETZEL'S™ Bakery within its bounds. However, it does not grant exclusivity over customers, meaning franchisees do not have exclusive rights to customers within or outside their Protected Area.

Flexibility in Delivery Services

Although franchisees are granted a Protected Area, the franchisor reserves the right to adjust the delivery service provisions, including the delivery area size, based on market conditions and other factors. This ensures flexibility and responsiveness to changing market dynamics.

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