The franchisor is Panera, LLC. The franchisor offers to sell Panera Bread Bakery-Café. Panera Bread Bakery-Café offers its customers fresh bakery goods, sandwiches, soups, salads, custom roasted coffees and other café beverages. From time to time the franchisor may add menu items and merchandise related to the Panera Bread concept.
The Operating Partner and all Bakery-Cafe general managers, assistant managers, and bakers must complete the appropriate training program before the opening if they haven’t completed the franchisor’s certified training programs previously. Both Baking Training and Retail Training must be completed by The Operating Partner.
Those training programs include theory and hands-on training about all phases of Bakery-Cafe operations: food preparation, equipment operation and maintenance, cost control, inventory control and basic techniques of baking. Baking Training taught by a baker trainer and six weeks long.
At the end will be a product knowledge test and solo baking, which will be judged on product quality, time management, efficiency and cleanliness. The certified general manager will teach Retail Training. This program is seven weeks long. One week of the training will be classroom training, the other six weeks is hands-on training. In the end, all trainees will be tested for knowledge and observed for use to proper standards and procedures.
All bakery-café training will be held at a certified Panera Bread training Bakery-Cafe. It is required that all active shift managers must have current certification status from an ANSI Accredited Program, including ServSafe from National Restaurant Association, National Registry from Environmental Health Testing, Prometrics, 360 Training or equivalent, or a Panera-approved food safety course within the operating state, if offered by the state. the franchisor may hold additional training sessions obligatory for franchisees and/or their Operating Partner and other personnel for the Bakery-Cafe.
Territory Granted: Franchisees have the right granted by The Franchise Agreement to own and operate a Panera Bread Bakery-Cafe at a specific location. The franchisor grants not to operate by its own or by a third party a Panera Bread Bakery-Cafe in the Protected Area, but exceptions are possible. The Protected Area is a geographic area one mile radius from the center of the franchisee's location unless the parties specified a different Protected Area.
There are two types of Protected Area depending on geographical areas where Bakery-Cafes are located. “Urban Residential area” consists of a residential population of more than 50,000 people within a two-mile radius from the location. Another type is the “City Center area ”which has a daytime population of over 20,000 within a mile radius of the franchisee's cafe. If both of these types apply to the site, the “City Center” criteria will prevail for the protected area.
Obligations and Restrictions: In the Franchise Agreement, franchisees must designate the “Operating Partner” approved by the franchisor. the “Operating Partner” must meet the following requirements:
- own and control (or have the right to own and control) on conditions reasonably acceptable to him, at least 10% of the equity;
- have the authority to associate the franchisee in all communications with the franchisor and operational decisions about the cafe-bakery;
- completed a training program to meet the requirements of the franchisor.
The Operating Partner must devote full-time and best efforts to the development and operation of the franchisee's business. The Operating Partner can not be engaged in any other business or activity that may conflict directly or indirectly with the obligations under the Franchise Agreement and requires significant responsibility and management or time commitment.
Term of Agreement and Renewal: The initial term of the franchise is 20 years. The franchise may be renewed under the terms of then-current the Franchise Agreement. The new agreement may have conditions that differ from the original contract. A successor franchise is not eligible for renewal.
Financial Assistance: The franchisor does not offer direct or indirect financing to franchisees. The franchisor does not guarantee a franchisee’s notes, leases or other obligations.
The franchisor will periodically require franchisees to sell food, beverage, other products, merchandise and services appointed for the Panera Bread Bakery-Cafe. Franchisees can't offer products or services (including promotional items) that are not approved by the franchisor in writing.
Leave a Comment