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Cereality Cereal Bar & Café USA Franchise Opportunity

USA
Minimum Investment

$124,410

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Established

2003

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Franchise Units

1

payments

Minimum Investment

$124,410

payments

Franchise Fee

$24,000

payments

Total Investment Range

$352,550

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Home Based

No

Description

Cereality Cereal Bar & Café is revolutionizing the fast-casual dining experience by offering a nostalgic yet innovative twist on the classic breakfast cereal. Imagine a café where customers can indulge in their favorite cereals—ranging from beloved brands to unique blends—customized with a variety of toppings and milk options, all served in a vibrant, café-style setting. This concept appeals to all ages, making it a versatile addition to any community.

Positioned as a fun, all-day dining destination, Cereality caters to the growing demand for customizable, quick-service meals. Whether it's a late-night snack or a midday treat, Cereality provides a comforting and convenient option for cereal enthusiasts. The brand's playful atmosphere and unique offerings set it apart in the competitive foodservice industry.

Why Invest in this Franchise?

Investing in a Cereality franchise means tapping into a proven business model with a unique product offering. The brand's focus on customization and quality appeals to a broad customer base, ensuring a steady stream of patrons. Additionally, Cereality's affiliation with Kahala Brands, a well-established franchise management company, provides robust support and resources to franchisees.

The franchise's flexible format allows for various store sizes and locations, from bustling urban centers to college campuses, maximizing potential customer reach. With the increasing trend towards personalized dining experiences, Cereality is well-positioned to capitalize on this market demand.


Background

🧠 Founding and Concept

Established: 2003
Founders: David Roth and Rick Bacher

Cereality was conceived to offer a nostalgic and customizable cereal experience, allowing customers to enjoy their favorite cereals in a café setting. The first location opened at Arizona State University, tapping into the student market's demand for quick, comfort food options .

📈 Growth and Expansion

By 2006, Cereality began franchising, aiming to expand its unique concept beyond college campuses. At its peak, the brand had multiple locations across the U.S., including major cities like Chicago and New York.

🏢 Acquisition by Kahala Brands

In 2007, Cereality was acquired by Kahala Brands, a prominent franchise management company known for its diverse portfolio of foodservice brands. This acquisition provided Cereality with additional resources and support for expansion.

📍 Current Market Presence

As of the latest available data, Cereality operates a single franchised location at Dallas/Fort Worth International Airport (DFW) in Texas. The brand continues to explore opportunities for growth, particularly in high-traffic areas such as airports and college campuses.

🔄 Recent Developments

Cereality remains active under the umbrella of Kahala Brands, which has expanded its portfolio to include over 28 brands . The brand is focusing on revitalizing its presence and exploring new markets to meet the evolving demands of cereal enthusiasts.


Support Training

Cereality offers comprehensive support to its franchisees, ensuring they are well-equipped to operate successfully:

  • Pre-Launch Support: Assistance with site selection, lease negotiation, and store design to align with brand standards.

  • Training: Intensive training programs covering operations, customer service, inventory management, and marketing strategies.

  • Ongoing Support: Continuous support through regular visits, operational audits, and access to a dedicated franchise support team.

  • Marketing Assistance: National and local marketing campaigns, promotional materials, and digital marketing strategies to drive brand awareness and customer engagement.

  • Supply Chain Management: Established relationships with suppliers to ensure consistent product quality and timely delivery.


Ideal Candidate

Cereality seeks passionate, entrepreneurial individuals who are eager to bring a unique dining experience to their community. The ideal franchisee should possess:

  • Business Acumen: Experience in retail or foodservice management is beneficial.

  • Customer-Centric Attitude: A commitment to providing exceptional customer service.

  • Community Engagement: Ability to connect with local communities and build strong customer relationships.

  • Financial Capability: Sufficient capital to meet the investment requirements and sustain operations during the initial phase.

  • Location Preference: Interest in establishing locations in high-traffic areas such as urban centers, college towns, or shopping districts.


Financial Detail

Financial ComponentDetails
Initial Franchise Fee$24,000 – $30,000 
Total Initial Investment$124,410 – $352,550 
Working Capital$5,000 – $15,000 
Royalty Fee6% of monthly gross sales
Advertising Fee4% of monthly gross sales 
Franchise Agreement Term10 years initial term; 5-year renewal options 
Break-Even TimeframeTypically 12–24 months, depending on location and operational efficiency
Revenue StreamsIn-store sales, catering services, and potential for branded merchandise
Ideal Location TypesHigh-traffic areas such as urban centers, college campuses, airports, and shopping districts



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