Business Description

European bakery/caf�, featuring authentic European breads, rolls, and pastries. In addition, we offer gourmet soups, salads, sandwiches, and hot entrees. We also serve a variety of beverages including espresso, gourmet coffee, teas and fruit juices. In addition to our full store, we have a "grab 'n' go" version as well.

Franchisor Background

Year Established:  1980

Franchising Since:  1984

Operating Units:
Franchised Units:	13	72.2%
Company-Owned Units:	5	27.8%
Total Operating Units:	18	100.0%
Geographic Distribution: U.S.: 0 0% In 0 States Canada: 18 100% In 3 Canadian Provinces International: 0 0% In 0 Foreign Countries   Total: 18 100.0%

North America:
States/Provinces with the largest number of operating units:

Density	Units
1. Alberta	3
2. British Columbia	1
3. Ontario	13

Registered in Following Registration States: Alberta

Financial Requirements

Investment:
Minimum Net Worth:	$500K
Cash Investment:	$300K+
Total Investment:	$750-800K
Average Total Investment:	$775K
Fees:
Initial Franchise Fee:	$40K
Average Franchise Fee:	$40K
On-Going Royalty:	6%
Average Royalty:	6%
Advertising Fee:	0.5%

Average Number of Employees: 10 Full-time, 8-12 Part-time

Space Needs (in square footage): 4,000

Preferred Sites: Storefront, Strip Center, Regional Mall

Other Sites:

Encourage Conversions? Yes

Earnings Claims Provided?: No

Franchisee Qualifications
Ranked from 1 (unimportant) to 5 (important):
Financial Net Worth:	5
General Business Experience:	4
Specific Industry Experience:	3
Formal Education:	3
Psychological Profile:	4
Personal Interview(s):	5
Terms of Contract
Term of Initial Contract:	10 Year(s)
Term of Renewal Period:	10 Year(s)
Passive Ownership:	Not Allowed
Area Development Agreements?	Yes, for 1 Year(s)
Sub-Franchising Contracts?	Yes
Franchisees Allowed to Expand Within Territory?	Yes
Support and Training
International Franchise Association:	No
Canadian Franchise Association:	No
Franchisee Association/Member:	No
Size of Corporate Staff:	35
Site Selection Assistance?	Yes
Lease Negotiation Assistance?	Yes
Financial Assistance?	No
Marketing Support:
Co-Op Advertising:	No
National Advertising:	No
Regional Advertising:	No
Local Advertising:	No
Marketing Materials:	None Specified
Additional Services:	None Specified
Other Marketing Support:	None Specified
On-Going Support:
Central Data Processing:	Included in Fees
Central Purchasing:	Included in Fees
Field Operation Evaluation:	Included in Fees
Field Training:	Included in Fees
Initial Store Opening:	Included in Fees
Inventory Control:	Included in Fees
Franchisee Newsletter:	Included in Fees
Regional or National Meetings:	At Additional Cost
800 Telephone Hotline:	Not Applicable
Training:
1. Toronto, ON or Dallas, TX	3 Months
Expansion Plans
Projected New Units Over Next 12 months: 10 U.S.: No Canada: Yes, All Canada Overseas: Yes, Middle East, Europe, South America	Request Franchisor Info   Submit an online form to receive information from Michel's Baguette.