- Bakers Delight lists a bakery cost of $600,000 to $700,000 + GST, a $50,000 + GST deposit and a $10,000 + GST training fee.
- You can pay the franchise purchase fee upfront or choose a higher royalty instead, which changes the long-term economics.
- You don’t need to be a qualified baker, but bread is baked fresh daily, so early-morning labour is a major cost.
Bakers Delight started as a single bakery in Hawthorn, Melbourne in 1980 and began franchising in 1990. It now has more than 700 bakeries across Australia, New Zealand and North America, where it trades as COBS Bread.
It is one of the larger investments among food retail franchises, so understanding the fee options and the labour model is essential.
Bakers Delight franchise at a glance
| Sector | Bakery |
|---|---|
| Founded | 1980, Hawthorn VIC; franchising since 1990 |
| Network | 700+ bakeries in Australia, New Zealand and North America |
| Bakery cost | $600,000 to $700,000 + GST |
| Deposit | $50,000 + GST to secure the site |
| Training fee | $10,000 + GST |
| Franchise purchase fee | Pay upfront or choose an increased royalty |
Figures come from the public sources listed at the end of this guide and can change. Treat them as a starting point and confirm current numbers in the franchise disclosure document.
How the Bakers Delight model works financially
Bread and baked goods are made from scratch every day, so a Bakers Delight runs early shifts before opening. Labour is usually the largest cost after ingredients, and penalty rates for early mornings and weekends affect it.
The choice between paying the franchise purchase fee upfront or taking a higher royalty is a financing decision. Paying upfront lowers ongoing fees; a higher royalty preserves cash but costs more over time if sales grow. Model both over the full term before choosing.
The numbers to test before you buy a Bakers Delight franchise
- The full investment: bakery cost, deposit, training, working capital and opening stock.
- Upfront fee versus higher royalty, modelled over the agreement term.
- Labour for early baking shifts and weekends.
- Ingredient cost, energy and end-of-day unsold product.
- Rent and outgoings, and who holds the head lease.
- Loan repayments against forecast cash flow.
Buying an existing Bakers Delight bakery
Established bakeries are sold regularly. Check that the seller’s figures reconcile to BAS and bank statements, look at bakers’ pay rates and accrued leave, and confirm the remaining lease and franchise term.
How Franchise Co. can help with a Bakers Delight purchase
We work with buyers and owners of franchise businesses across Australia. For a Bakers Delight bakery we can:
- Review the numbers before you sign. Our business due diligence starts from $2,000 + GST and tests the bakery cost, fee option, labour and lease against the disclosure document and the seller’s records.
- Set up the structure and the books. Entity choice, GST, payroll and a chart of accounts that tracks labour by shift and ingredient cost. See accounting and tax and bookkeeping, BAS and payroll.
- Check your franchise fees. We reconcile royalties under your chosen fee option to the sales they’re calculated on. See royalties and franchise fees.
- Plan the next bakery. If a second site is on the cards, we model the cash flow and funding first. See multi-site reporting.
Bakers Delight franchise FAQs
How much does a Bakers Delight franchise cost?
Bakers Delight lists a bakery cost of $600,000 to $700,000 + GST, plus a $50,000 + GST deposit and a $10,000 + GST training fee.
Do I need to be a baker to own a Bakers Delight?
No. Some franchisees are qualified bakers, but it isn’t a requirement.
Can I avoid paying the franchise purchase fee upfront?
Bakers Delight offers the option of paying it upfront or taking an increased royalty instead. Compare the total cost of each option over the term.
Does Bakers Delight provide finance?
No, but it says it is accredited with several Australian banks.
Franchise Co. is an independent accounting practice. We aren’t affiliated with, endorsed by or connected to Bakers Delight. Bakers Delight is a trademark of its owner and is used here only to identify the brand this guide discusses.
Sources and further reading
- Bakers Delight: Franchise opportunities
- Bakers Delight: Franchise purchase fee options
- Franchise Business: Bakers Delight Q&A
- ACCC: Franchise disclosure document
Sources checked November 2026. Franchise costs and fees change. Confirm current figures with the franchisor before acting.
This guide is general information for people considering a franchise in Australia. It doesn’t take your circumstances into account and isn’t personal tax, legal or financial advice.
Talk it through
Every franchise is different. Ask us how this applies to yours.
