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85 C Bakery Cafe

Food & Dining · independent · est. —

85°C Bakery Cafe is a Taiwanese-style bakery and cafe chain selling a wide range of fresh breads, pastries, cakes, and specialty coffee and tea drinks. Stores are known for large bakery displays and sea-salt coffee. A franchisee operates a cafe location with on-site baking and beverage service.

85 C Bakery Cafe net unit count grew +5.9% from 20212023 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Too new to judge

Distress

0
STABLE

3 franchised units over 3 disclosed years is not a track record — systems this early have realized only a fraction of their eventual failures. Judge the disclosures, not a verdict.

Exit rate · latest year

0.0%

vs 8.6% across 137 food & dining systems

Cost to open

$1.1M–$2.5M

Item 7 total investment range

SBA loan defaults

No loan record

no SBA 7(a)/504 loans found for this brand

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Strong
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Strong
Transfer / churn15%

transfers vs. base · Table 3

Strong
Promise-keeping10%

actual vs. projected openings · Table 5

Strong
Transparency15%

Item 19 disclosure + completeness

Weak

Systemwide units

2021–2023

+5.9%
682021672022722023

Survival record

FDD Item 20 · outlet status by year

In fiscal 2023, 0 of 1 franchised outlets left the system — a 0.0% annualized exit rate, vs 8.6% across 137 food & dining systems. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202120222023
Outlets at start676867
Opened012
Transfers000
Terminations000
Non-renewals000
Reacquired by franchisor000
Ceased — other reasons000
Outlets at end686772
Net change+1-1+5

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $50K franchise fee (Item 5) and a total investment of $1.1M–$2.5M (Item 7). The franchisor publishes no earnings claim (Item 19) — ask current and former franchisees for real numbers.

To open (Item 7)

$1.1M–$2.5M

all-in investment range

Franchise fee (Item 5)

$50K

upfront, one-time

Royalty (Item 6)

6.5%

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.

Royalty you'd pay / yr

$65K

6.5% of sales, before profit

Over a 10-yr term

$650K

royalties alone, excl. ad fund

This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.

Build a real pro-forma for 85 C Bakery Cafe with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for 85 C Bakery Cafe. That's a good sign — but it reflects news coverage, not a guarantee.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing 85 C Bakery Cafe's numbers, including talking you out of a bad deal.

Talk to an independent CPA before you buy →

85 C Bakery Cafe franchise questions, answered from the filings

What percentage of 85 C Bakery Cafe franchises closed last year?

In 85 C Bakery Cafe's latest FDD Item 20 (fiscal 2023), 0 of 1 franchised outlets left the system — an annualized exit rate of 0.0% — compared with 8.6% across 137 food & dining systems tracked here. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a 85 C Bakery Cafe franchise cost?

Per 85 C Bakery Cafe's 2024 FDD, buying in requires an initial franchise fee of $50K (Item 5) and a total initial investment of $1.1M–$2.5M (Item 7).

What royalty does 85 C Bakery Cafe charge?

85 C Bakery Cafe charges an ongoing royalty of 6.5% of gross sales, per Item 6 of its 2024 FDD.

Does 85 C Bakery Cafe disclose earnings (Item 19)?

No — 85 C Bakery Cafe's 2024 FDD makes no financial performance representation in Item 19. That is legal and common, but it means the franchisor publishes no earnings claim; ask current franchisees for real numbers.

Is 85 C Bakery Cafe a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk