Magnolia Bakery has seen 33% growth from 2024, expanding from 31 locations to 40 in 2025.
The brand is seeking to double its footprint over the next few years, with newly signed expansions in India, Turkiye, the Philippines, Qatar and the new market of Bahrain.
There are currently bakeries operating in seven countries, run by six franchise partners, and more partners are expected to join in 2026.
How does the Magnolia Bakery franchise model work?
Magnolia Bakery’s international franchise model operates as a multi-unit partnership system designed for scalable, localized growth while preserving brand authenticity.
The model scales efficiently through a hub-and-spoke growth strategy that strengthens profitibility and consolidates costs.
Magnolia selects experienced regional operators who secure larger territorial rights. Franchise partners manage all operations within their region, including site selection, staffing, and marketing.
Franchisees receive comprehensive training from Magnolia Bakery to ensure recipes, baking techniques, and signature processes are strictly followed.
Localized adaptation: Partners can introduce region-specific flavors while maintaining core items such as Magnolia Bakery’s famous banana pudding and classic cupcakes.
Training and support
Initial onboarding & brand immersion: Begin in New York City or virtually with a comprehensive orientation at Magnolia Bakery headquarters. Franchisees meet leadership, tour the original West Village location, and learn Magnolia Bakery’s heritage, values, and operational standards. All agreements, goals, and growth strategies are clearly established.
Site selection & design approval: The Magnolia Bakery real estate team delivers market analysis, traffic insights, and tailored site recommendations. Every proposed location, interior layout, and design element reflecting Magnolia Bakery’s iconic vintage aesthetic is thoroughly reviewed and approved to ensure brand consistency and strong performance.
Comprehensive team & chef training: Staff receive hands-on training at Magnolia Bakery’s New York facilities, mastering small-batch recipes, quality protocols, and exceptional service. Magnolia Bakery specialists provide on-site support during pre-opening and launch. Ongoing training ensures continuous skill development and adherence to standards.
Continuous operational & marketing support: Magnolia Bakery delivers monthly business meetings, P&L consultations, PMIX reviews, and regular in-market visits. Franchisees benefit from project management for expansions, local menu adaptations, and approved sourcing solutions. Marketing support includes digital assets, social strategies, and a global fund for unified campaigns, driving sustained growth and profitability.
Financial information
The initial franchise and territory fee is dependent on a range of factors, including trademark requirements, FDD registration, legal regulations and process, a third-party background check, population, and bakery potential. Initial fees cover a license to operate in your territory, supply chain support, site selection and design guidance, and other initial onboarding support.
A multi-unit bakery commitment is required for each market, which, depending on the size of the market, ranges from an initial commitment of 10–20+ bakeries.
- The royalty fee is a flat 6% of gross revenue.
- Locations range from 50 to 200 square meters in size.
- The investment range is $450k–$1m USD, with availability to locally source fitout and ingredients.
Why is Magnolia Bakery a good investment?
A legacy brand with global appeal: Join a beloved brand nearing three decades in business, famous from New York’s West Village and Sex and the City, evoking nostalgia and joy worldwide.
A scalable, adaptable model: The brand’s proven system lets you customize desserts with local flavors and sourcing for freshness, efficiency, and cultural fit.
Core products: The World-Famous Banana Pudding drives loyalty, repeat visits, and emotional connections across generations.
Comprehensive support: Get hands-on training, support with site selection, marketing, and operations guidance to launch and thrive.
Hospitality-first ethos: Create whimsical experiences that turn everyday moments into celebrations, building community hubs.
Global proof of concept: Magnolia Bakery is operating successfully across the GCC, Eastern Europe, and Southeast Asia.
Growth areas
Magnolia Bakery is expected to double its international franchise system over the next four years with its current commitments. Current markets of focus are Latin America, GCC, Southeast Asia, Europe, and East Asia.
What are the terms of the franchise agreement?
The standard agreement format is an initial term of 10 years with the option to renew for two consecutive five-year terms; however, the agreement term varies by market.