Great Harvest Bread Co.

[SonomaCat]

My wife and I are on the hunt for businesses we can start up/buy so we can quit working for the man and do something we really want to do every day. One thing my wife is interested in is perhaps starting up a Great Harvest Bread Co. franchise location.

We've done a lot of reading on them and visited the only local location (Oakland), but none of that compares to the massive wealth of knowledge that is Bobcatnation.

What are you guys' views on these bakeries and the company? Is it a business that you shop at a lot? Do you like their products? Would you see it as a good business to move into new markets?

Thanks in advance for any insight you have, positive or negative.

[SACCAT]

It all depends on your market. Great Harvest Bread company did (and does still) well here in bozeman, but a TON of places are starting to make bread for there own stores, so it cut down on the amount of bread they sell locally. Between Wheat Montana, Food Coop, On the Rise, great harvest, and one other (can't remember the name) all trying to sell to the same 10-15 stores, the margins cut pretty thin. I would take a look at where stores get there bread, and what the market looks like in terms of number of bakeries in your area.

P.S. the best way to fund your bakery would be to have 10-15 Casino Machines, and also serve only Bozone beer.

[SonomaCat]

It all depends on your market. Great Harvest Bread company did (and does still) well here in bozeman, but a TON of places are starting to make bread for there own stores, so it cut down on the amount of bread they sell locally. Between Wheat Montana, Food Coop, On the Rise, great harvest, and one other (can't remember the name) all trying to sell to the same 10-15 stores, the margins cut pretty thin. I would take a look at where stores get there bread, and what the market looks like in terms of number of bakeries in your area.

P.S. the best way to fund your bakery would be to have 10-15 Casino Machines, and also serve only Bozone beer.

Thanks for that market insight. I'm not sure of the degree to which many of their franchises are actually selling into other stores and to what degree they are selling only through their own store front (and farmer's markets and other direct sale models) ... I guess that's a good question for me to write down.

Of course, I do still like the idea of carrying local beer in any business that I could get away with, but I think I will avoid any business model that is dependent upon people gambling away their welfare and Social Security checks in casino machines. Besides, setting up flashing lights and gaudy signage and making the street look like an even poorer man's Reno probably wouldn't pass muster with the folks in Dillon.

[gtapp]

I have had a few friends in the business of buying a franchise and that being their only business. From what I have seen the margins are such that the only way to make it work is if you have multiple stores. The effort to do this goes up since having managers for each store is expensive. It can be done. The franchise that most impresses me down here in Southern CA is In-and-Out Burger. They are packed all day and night. 10 in the morning, 3 in the afternoon, 8 at night. No matter the lines are out the door and since they only serve a very small simple menu they can have an assembly line process which saves a lot of money. I am confient that someone could make a good living with just one of those places.

[SonomaCat]

Yeah, those In-n-Out burger places do huge business. They don't do franchises, though. They are all company-owned.

If we were to do a franchise of some sort, I'd probably also start doing CPA work as another revenue stream. I haven't run all the numbers to see how that would potentially pencil out, though.

Of course, my ideal business is still to run our own brewery. The only drawbacks to that plan are my lack of capital and lack of brewing knowledge. But I have the quality control aspect of the business down cold!

[gtapp]

Brewery's seem to do well especially if you can get some local, or even better, regional popularity. I think some of the first MT beers did well just because they were from MT. NOw the quality is a lot better and they have gone nation wide. I buy Moose Drool here in San Diego!

Combine wheat bread and wheat beer. Buy a six pack and get a free loaf!!!!

[wbtfg]

I went to a topless doughnut shop in Maine a few years ago....maybe they're looking to franchise.

[CapitalCityCat]

I think the Great Harvest Bread Company is one of the better franchises in terms of the owners being given latitude in how to run their operations. I've always admired their business philosophy and thought it would be fun to own a franchise but have never had the capital. About 10 years ago I applied for a job as an opening trainer and made it through the interview process but didn't get offered the position. I've considered applying again over the years, but as I age, I'm realizing the benefits of a full retirement and am finding it more difficult to jump ship and start over.

I do think that Great Harvest has a great brand recognition for being a bakery, and I do think it's a destination type of store. I'll admit that I don't stop at the local Great Harvest in Helena very often, but rather it's one of those places that I tend to visit when I'm out of town because I know what they have to offer and they have roots in Montana. I've driven 15 miles out of the way to shop at the Great Harvest in Liberty Lake, Washington just to get a cinnamon roll and cup of coffee or a slice of warm bread.

You also mentioned owning a brewery, so here's my suggestion. Own one of each and then start making some specialty beer breads. Create not only a buzz for the specialty breads, but also for the locally brewed beers. Maybe something like a nice Organic Alcatraz Ale or Cable Car Porter and Embarcadero Ciabatta. I love beer and anything that is cooked or created with beer. As a matter of fact, I can't wait to get back to Big Dipper Ice Cream and get a large, heaping scoop of Cold Smoke ice cream!

[chester Spartanpot]

Few things:
Chester hit up the GHB upon the request of Mrs. Spartanpot. That is the one and only time Chester dropped $7 on a loaf of bread. He'd take the local independent basic Italian Bakery any day over all the fancy stuff dumped into the GHB stuff... but thats just him. That location is; however, smack dab in the middle of a city (birmingham, michigan) where the median family income is north of $110k per year. So when the mister is busy performing heart surgery, running his own OEM part supply company, or playing for the Lions... the misses has all morning to take junior and little sally to the GHB and drop a $100 in preparation for the playdate that afternoon. So maybe it is the right fit for you by the bay??

Chester has just always viewed franchise ownership as a glorified sales position. You are still selling someone elses product. You still will be working "for the man" unless you can get around paying the franchise fee. And they will have your nuts in the vice via the contract. But at least you will get a trip to montana out of the deal

All that aside, it is Chesters opinion that you should go after your ideal business of a brewery. It will be harder, take longer, riskier, etc... but it will be more rewarding and it will be YOURS. It will be something that you created, something that you built. If it is your passion, you will never work another day in your life.

[crzy-cat]

Being from the Dillon area (which doesn't have a Great Harvest Franchise just corporate headquarters) and stopping in every couple of months when they have their bread sales made by the trainees. I really enjoy their bread, but like Chester, it is priced out of this renecks' daily-use price range. What I will go out of my way for is their cookies - I try to get a dozen of their cookies everytime I can.

I have often wondered about combining their cookies with an ice cream parlor? The dairy down Idaho Falls makes a killing with their own Ice Cream parlor out by the dairy. Does anybody make "designer" ice cream? Cookies and ice cream -- a great combination. You could sell ice cream yearround down in Cali, couldn't ya?

20 degrees, wind is howling, wind chill must be like -5, and I'm daydreaming about ice cream. Must be the last sign of insanity!

[tdub]

Being from the Dillon area (which doesn't have a Great Harvest Franchise just corporate headquarters) and stopping in every couple of months when they have their bread sales made by the trainees. I really enjoy their bread, but like Chester, it is priced out of this renecks' daily-use price range. What I will go out of my way for is their cookies - I try to get a dozen of their cookies everytime I can.

I have often wondered about combining their cookies with an ice cream parlor? The dairy down Idaho Falls makes a killing with their own Ice Cream parlor out by the dairy. Does anybody make "designer" ice cream? Cookies and ice cream -- a great combination. You could sell ice cream yearround down in Cali, couldn't ya?

20 degrees, wind is howling, wind chill must be like -5, and I'm daydreaming about ice cream. Must be the last sign of insanity!

Check out Diddy Riese near UCLA, it is exactly as you describe. I had the opportunity to go there when I had to go to UCLA a couple months ago. They combine fresh baked cookies and ice cream - absolutely to die for (and VERY reasonably priced too). There is consistantly a line out the door.

http://www.diddyriese.com/home.php

[rvcat]

check pm

[gtapp]

I went to a topless doughnut shop in Maine a few years ago....maybe they're looking to franchise.

Now that is a GREAT idea!!!!!!!!

[SonomaCat]

Thank you, everybody, for your throughts and insights. You really have no idea how helpful they are!

[Teton Cat]

Well BAC I'm a little late coming here but thought I'd give you my two bits......Before deciding on a business I'd check out the best "location" I could find. Successful business' play the numbers game....how many people travel the street....hi-way...Intersections of roads....etc. That's the problem with business' in Montana...the #'s are just not there. Personally I would not open any business in MT that couldn't be accessed from an Interstate Exit. As for cities to check out I'd look at Bend, OR....I swear every retired State Employee from CA is moving there along with their semi-wealthy friends....if MT is what you are looking for check out Sidney, MT or Williston ND (yeah....I know....ugh!!!!) but they are riding the oil boom big time and it's going to last awhile....I've lived in much worse places!!!! It's kind of what you make it.

[ChiOCat]

Last night I was driving down a street I drive down a couple times a week and saw that we to have a Great Harvest Bread Co there. So I guess that tells my opinion, I've never even noticed it!

If I want a special loaf of bread I buy a local bread companies that they sell in the grocery store. I've never taken the time to drive to a specialty store for a loaf of bread. Although I did go there for brownies once

[allcat]

I owned a business for 12 years. You wil always work for the man, just higher up on the decisions ladder, Steve Jobs worked for the man. By this I mean that you sell to customers, they become the man. Whatever you do, do it with passion. Time off when you own the business is a luxury. Do all of the jobs, clean the toilets, mop the floor, wash the windows. Pay attention to the details, looks matter, whether that means a clean store or nicely dressed employees, it matters. Make your employees follow your lead, don't allow slackers. Remember to make your boss happy that you were there today.

[Common Cat]

Little known fact (I think) about Great Harvest Bread is it originated from Great Falls, Montana. Our downtown store is the first. Great company - awesome cookies.

[WeedKillinCat]

Little known fact (I think) about Great Harvest Bread is it originated from Great Falls, Montana. Our downtown store is the first. Great company - awesome cookies.

Didn't they have a location in the Holiday Village Mall at one point?

[LongTimeCatFan]

I owned a business for 12 years. You wil always work for the man, just higher up on the decisions ladder, Steve Jobs worked for the man. By this I mean that you sell to customers, they become the man. Whatever you do, do it with passion. Time off when you own the business is a luxury. Do all of the jobs, clean the toilets, mop the floor, wash the windows. Pay attention to the details, looks matter, whether that means a clean store or nicely dressed employees, it matters. Make your employees follow your lead, don't allow slackers. Remember to make your boss happy that you were there today.

This. Don't let it consume you.

Also, if you are trying to move back to Montana, I suggest Billings to start a business no matter what it is. The Billings economy seems to be the most stable in Montana, probably because it is the most diverse. I don't recommend the boom or bust towns like anywhere in the Flathead or NE Montana. Stability aids in sanity.