About Noah's Bagels Franchise
Noah's New York Bagels is a fast-casual restaurant franchise specializing in the sale of fresh-baked bagels, cream cheese and other spreads, specialty coffees and teas, baked sweets and snacks, and creative lunch items including sandwiches, salads, soups, and other beverage items.
Franchisees operate a restaurant from an indoor retail location ranging from approximately 1,500 to 2,500 square feet, serving customers for on-premises and carry-out consumption.
The target customers are breakfast and lunch patrons seeking high-quality bagels and related menu items in a quick-service environment.
Noah's Bagels Franchise Cost & Fees
Minimum Investment
$866K
Average Investment
$1.2M
Maximum Investment
$1.6M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $35,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 4% of Gross Sales | National brand fund |
| Total Investment Range | $866,300 – $1,587,500 | Includes build-out, inventory, working capital |
The investment range of $866K–$1.6M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Sales) and marketing fee (4% of Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Construction Costs (Traditional) | $400,000 | $750,000 |
| Computer Equipment & Electronics (Traditional) | $33,000 | $55,000 |
| Furniture, Fixtures & Equipment (Traditional) | $265,000 | $315,000 |
| Signage & Graphics (Traditional) | $65,000 | $85,000 |
| Professional Fees (Traditional) | $35,000 | $50,000 |
| Initial Franchise Fee | $35,000 | $35,000 |
| Design Review Fee | $2,000 | $2,000 |
| Real Estate Leasing (Traditional) | $25,000 | $162,500 |
| Opening Inventory, Smallwares and Supplies | $20,000 | $45,000 |
| Initial Marketing and Promotion | $10,000 | $10,000 |
| Insurance | $10,000 | $25,000 |
| Training Expenses | $2,000 | $22,000 |
| Miscellaneous Opening Costs | $1,200 | $5,000 |
| Business Licenses | $1,800 | $5,000 |
| Security Deposits | $5,000 | $18,000 |
| Additional Funds (three months) | $50,000 | $80,000 |
| Construction Costs (Small Footprint) | $360,000 | $650,000 |
| Computer Equipment & Electronics (Small Footprint) | $33,000 | $55,000 |
| Furniture, Fixtures & Equipment (Small Footprint) | $265,000 | $315,000 |
| Signage & Graphics (Small Footprint) | $65,000 | $85,000 |
| Professional Fees (Small Footprint) | $35,000 | $54,000 |
| Real Estate Leasing (Small Footprint) | $20,000 | $117,000 |
| Initial Marketing and Promotion (Small Footprint) | $2,500 | $10,000 |
| Insurance (Small Footprint) | $10,000 | $25,000 |
| Training Expenses (Small Footprint) | $2,000 | $22,000 |
| Miscellaneous Opening Costs (Small Footprint) | $1,000 | $5,000 |
| Business Licenses (Small Footprint) | $1,800 | $5,000 |
| Security Deposits (Small Footprint) | $4,000 | $16,000 |
| Additional Funds (Small Footprint, three months) | $20,000 | $40,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 50% of then-current initial franchise fee |
| Renewal Fee | 10% of then-current initial franchise fee |
| Technology Fee | $200 - $500 per month (System Support Fees) |
| Audit Fee | All costs and expenses associated with audit, reasonable accounting and legal costs |
| Grand Opening Marketing Program | $10,000 |
| Interest on Overdue Amounts | 1.5% per month |
| Costs and Attorneys' Fees | Will vary under circumstances |
| Supplier Testing | Will vary |
| Indemnity | Will vary under circumstances |
| Reinspection Fee | Up to $1,500 |
| Securities Offering Fee | $7,500 or actual expenses, whichever is more |
| Additional Training and Onsite Assistance | $350 per trainer per day plus per-diem and out-of-pocket costs |
| Additional Certified Manager Personnel Training | $1,600 per additional individual |
| Lost Future Royalties | Average monthly royalties x lesser of 36 months or months remaining |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 4 weeks |
| Classroom Training | 50 hours |
| On-the-Job Training | 268 hours |
| Training Location | Certified Training Location (training restaurants of franchisor's choosing across the U.S.) |
| Additional Training | Periodic refresher courses, seminars, and other training programs may be required. Additional on-site training available at $350 per person per day plus per-diem charges and out-of-pocket expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | Yes |
| Territory Size | Typically a 2-mile radius circle from the front door of the Restaurant (may be less in dense urban centers) |
| Description | The Protected Territory is a circle with a radius specified in the Franchise Agreement, typically two miles, centered on the front door of the Restaurant. However, the franchisor retains the right to establish restaurants at Non-Traditional Facilities (college campuses, airports, hotels, casinos, military bases, theme parks, etc.) and Captive Market Locations within or outside the Protected Territory. The franchisor and affiliates may also operate restaurants under other brands (Einstein Bros. Bagels, Manhattan Bagel, Caribou Coffee, Peet's Coffee, Panera Bread, Bruegger's Bagels, Krispy Kreme, Pret A Manger, etc.) within the Protected Territory. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | 10% of then-current initial franchise fee |
| Renewal Conditions | Notice, satisfaction of monetary obligations, compliance with Franchise Agreement, release, pay fee, sign new Franchise Agreement (which may contain materially different terms and conditions) |
| Transfer Fee | 50% of then-current initial franchise fee |
| Transfer Conditions | Franchisor approval required; compliance with existing franchise agreement; release; buyer's signature of new agreement; payment of transfer fee; see §§ 16.5.1 - 16.5.10 of Franchise Agreement |
| Termination for Cause | Default under the Franchise Agreement or Development Agreement, bankruptcy, abandonment, conviction of felony, and other grounds; see § 17 of Franchise Agreement |
| Non-Compete Period | 2 years |
| Non-Compete Details | Prohibition on engaging in a Competitive Business (retail business selling or offering bagels, cream cheese, and/or coffee products constituting 30% or more of gross revenues) within the Protected Territory or within 10 miles of any other Restaurant then-operating under the System, for 2 years after franchise is terminated or expires. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | The Franchise Agreement does not require personal participation in direct operations, but encourages active participation. The franchisee must designate an approved Operating Partner with an ownership interest. The Restaurant must at all times be under the active full-time management of the Operating Partner, Store Manager, or additional Certified Managers who have passed the training program. |
| Required Suppliers | All Proprietary Items (bagels, sweets, baked goods, shakes, blended drinks, cookies, cream cheese, cream cheese spreads, coffee, coffee beans, and paper/plastic goods bearing Proprietary Marks) must be purchased from the franchisor, its affiliate, parent company, or designated suppliers. All other products must be from approved suppliers only. |
| Supply Restrictions | 100% of product purchases from approved suppliers and according to franchisor specifications. Franchisees must use approved POS system (NCR/Aloha). May not use unapproved suppliers without written approval. |
| Franchisor Revenue from Suppliers | The franchisor reserves the right to collect and retain manufacturing allowances, rebates, credits, monies, payments and benefits offered by manufacturers, suppliers and distributors. During fiscal year ended December 26, 2023, there were no Noah's Bagels franchisees and no revenue from product/service sales to franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither the franchisor nor any agent or affiliate offers direct or indirect financing, guarantees any note, lease or obligation. |
Noah's Bagels Franchise Earnings — Item 19
Noah's Bagels does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Noah's Bagels does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Noah's Bagels Litigation & Risk Flags
Clean Litigation RecordNoah's Bagels has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Noah's Bagels System Growth
Total Units
55
Franchised
0
Company-Owned
55
Noah's Bagels currently operates 0 franchised locations and 55 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 2 | 56 |
| 2022 | 0 | 1 | 55 |
| 2023 | 0 | 0 | 55 |
Transfers: 0 | Closures: 3
State Registrations
Registered in 15 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA, WI
Noah's Bagels Franchise — FAQ
The total investment to open a Noah's Bagels franchise ranges from $866,300 to $1,587,500, per their Franchise Disclosure Document. This includes the initial franchise fee of $35,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Noah's Bagels charges a royalty fee of 5% of Gross Sales of gross sales, plus a 4% of Gross Sales contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Noah's Bagels Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Noah's Bagels to ensure you have the most up-to-date version.
Noah's Bagels does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Noah's Bagels has been franchising since 2023. The FDD shows an investment range of $866,300-$1,587,500, a 5% of Gross Sales royalty, and no Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $35,000 and the total investment ranges from $866,300 to $1,587,500 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Noah's Bagels and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Noah's Bagels or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com