La Fayette Franchise, Inc.

Bringing French bakeries to the USA

La Fayette Franchise, Inc.

Bringing French bakeries to the USA

Miami Beach, FL
Food & Beverage
La Fayette Franchise, Inc. owns the concept of an artisan bakery that has streamlined the baking process and offers high-quality French flavors all day long. The bakery, Les Moulins La Fayette, is a 20-location bakery in Canada that has been able to grow tremendously with its high-quality bread, viennoiseries, and pastries. By securing the rights to this brand, business model, and experience, we plan to bring this bakery to the United States.

$124,830

raised
206
Investors
$5M
Valuation
$5.00
Price per Share
$200.00
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

$124,830

raised
206
Investors
$5M
Valuation
$5.00
Price per Share
$200.00
Min. Investment
Common
Shares Offered
Equity
Offering Type
$1.07M
Offering Max
Reg CF
Offering

Bonus Rewards

Get rewarded for investing more into La Fayette Franchise, Inc.

$200+
Investment
StartEngine Owner’s Bonus
This offering is eligible for the StartEngine Owner’s 10% Bonus program. For details on this program, please see the Offering Summary section below.
$400+
Investment
Baron / Baroness
Receive one macaron gift box.
$1,000+
Investment
Count / Countess
Receive one assortment chocolate ballotin + one macaron gift box.
$2,000+
Investment
Marquis / Marchioness
Receive one bottle Marquis de La Fayette Champagne + one assortment chocolate ballotin + one macaron gift box
$5,000+
Investment
Duke / Duchess
Receive six bottles of Marquis de La Fayette Champagne.
$10,000+
Investment
Prince / Princess
Receive 5% Bonus Shares + six bottles of Marquis de La Fayette Champagne.

Reasons to Invest

The concept for this franchise is based on Les Moulins La Fayette which was the 2019 #1 rated bakery in Quebec, Canada.
The test location to validate the franchise model in the US had over $1M in sales in 2019.
With the original founder of the Les Moulins La Fayette bakery on our advisory team, we believe this franchise has the expertise to flourish.

Overview:


The image above is a photo of a Les Moulins La Fayette location in Valleyfield Canada - La Fayette Franchise, Inc. has no ownership or franchise relationship with this location.


Les Moulins La Fayette has over 20 locations across Canada and has recognized approximately $12M (CAD) in annual sales. The original Canadian bakery does not operate with a franchise model. 


Looking at the US hospitality industry, we believe there is a hole in the market when it comes to true French bakeries. With a larger addressable market based on the US’s much larger population, we believe the franchise model in the US will fast track the growth of the brand and we want to make the US version of this French bakery bigger and better.


The first US location was opened in Miami Beach, FL to test the concept of bringing this Canadian-loved brand to the US and it has generated over $1M in sales in 2019. In its first year, this US test location largely surpassed all Canadian locations in terms of sales, becoming the #1 location in the entire network.

That is why we’ve recently acquired the rights to use and sublicense the Les Moulins La Fayette Bakery brand and we want to bring it to the US under our new company, La Fayette Franchise. We’re raising on StartEngine so that the public can invest and help grow this brand across the United States. La Fayette Franchise owns no restaurants ourselves, thereby mitigating the risk  associated with the actual operations of the restaurants for ourselves and our investors. 


We’ve decided to focus on what we do best. We believe we have put together a package with everything it takes to open a wonderful French Bakery and are now prepared to sell this model to people in the U.S. 



Disclaimer: The performance of existing Les Moulins La Fayette locations does not reflect on how our business is performing currently, or in the future, since we are the franchise management company.

Our Approach


La Fayette Franchise provides the full model needed to open your very own French bakery

There is nothing quite like a beautiful fluffy quiche, a perfectly airy macaron or a buttery croissant. We’ve seen American coffee shops try to create these wonderful pastries, but we believe none have been able to create them as well as the French intended. That is why we’re bringing French bakeries with expertly crafted French recipes to the United States.


We saw the Les Moulins La Fayette brand grow tremendously in Canada and now are trying to do this ourselves, by franchising Les Moulins La Fayette locations throughout the United States. 


La Fayette Franchise sells the brand, business model, and supply chain to eager restaurateurs looking to open up their very own bakery.


The Market


Bakery Cafes take in over $11B in revenue in the U.S.

In addition to the $11B Bakery Cafe Market in the US, the North American market for bakery products is still expected to grow at almost 5% despite the market’s state of maturity.


There are also over 30K coffeeshops in the US, with some of the larger chains like Starbucks competing for some of the top positions in the quick-service industry at large.

Our Traction


Sustained growth over more than two decades

Although La Fayette Franchise does not own any restaurants, we decided to test the brand by opening up a bakery under a different entity.


Our test bakery in Miami Beach recorded 16.9% growth in its sales from September 2019 to February 2020 compared to the year before, achieving over $1M in sales in 2019. We believe this proves the bakery can perform well in the US and hope that it will lead to more people wanting to franchising the restaurant.


After seeing this traction, we secured the rights to the Les Moulins La Fayette Bakery and have opened our own franchising business - to give people the pieces they need to open a bakery of their own.

The Business Model


Our business is run on a franchising model

We take in revenue from franchise fees and royalties.


First, we sell our concept to franchisees, who then handle the upfront investment to build bakeries (which costs around $375K).


From each franchise, we collect the original franchise fee ($30K), a training fee ($5K), a royalty fee (6% of gross revenue per year), and a marketing fee (1% of gross revenue per year). 


La Fayette Franchise provides franchisees support with strategic location selection, lease negotiation, architect process, and equipment process. We also train future franchisees on operating procedures, business management, and customer service. 


Our first franchisees should be ready to open their very own bakeries in just under a year’s time.

How We Are Different


We believe our competitors cannot match our taste and freshness at the scale we can provide

Our model allows us to provide a classic, award-winning taste with a supercharged level of consistency and scalability.


Les Moulins La Fayette has a distinctive advantage against the competition thanks to its artisanal production facility which supplies franchisees with all the baked goods. This process heavily simplifies bakery operations for franchisees. Additionally, we have engaged  La Colombe Coffee Roasters and Palais des Thés to supply our future franchisees with the highest quality coffee and tea around.

Our grab-and-go system allows customers to walk in and out while quickly accessing delicious baked goods, warm food, fresh juices, and coffee.


With 30% of sales from our Miami test location coming directly from coffee, juices, and smoothies, we believe we can position ourselves as a direct competitor to well-known coffee chains in the US. When we include the added value and draw of our pastries and baked goods, we think we can be even better.


Many of our smaller competitors do not have the systems to provide similar products at scale, while we believe our larger peers like Starbucks and Paul cannot offer close to the level of consistency or quality.

The Vision


Move into the US market

We plan to take what we learned with the test US location and franchise stores on the east coast, and then expand in Florida and Texas.


We know that the bakery can perform well in the US. Now we want to grow the network of bakeries, becoming a hotspot for the best french pastries in town.


By placing our bakeries in tourist hotbeds, city centers, and transportation hubs, we hope to build brand recognition that surpasses what has even been seen in Canada. Additionally, we want to grow this brand into a truly future-forward company - utilizing systems like the grab-and-go pickup to better suit the modern consumer.

Current Stage


LaFayette Franchise is currently in the development stage and has not yet signed or opened any franchise locations. We have already secured the rights to the Les Moulins LaFayette Bakery for use in the US - along with this comes the supply chain, baked goods, and branding.


With pieces secured to put together a great bakery, we are in the process now of setting up all franchise contracts and documentation. We believe with this done we should be ready to fully market the franchise by the end of 2020. We plan to start signing contracts with franchisees next year and believe the first bakeries will open in the second semester of 2021.

Our Team


Entrepreneurs and respected bakers on one team

Our Co-CEO Nicolas has spent years as a seasoned executive, with profitable investments in the retail and shopping mall industries, as well as commercial real estate.


Our Co-CEO Vincent has great experience in managing teams and operating bakery business.


Alongside him, we have a team of extraordinary advisors who have developed successful franchises like Blimpie and Massage Envy.


The original founder and baker extraordinaire of the Les Moulins Bakery, Johnny Jeulin, is a Board Advisor of our La Fayette Franchise company. We believe his expertise in creating the original bakery will assist us as we work to grow this brand in the US.

Why Invest


We believe we can recreate the success this bakery has seen in Canada

Although the success of this brand in Canada is no guarantee of success in the US, we believe that the power that the vast history of the brand will excite consumers in the US who are looking for the best bread, viennoiseries, and pastries around.


We hope to replicate that in a new high potential market and grow rapidly across the country, reaching similar penetration in many US cities as we have in Quebec.

Offering Summary


Company

:

La Fayette Franchise, Inc.

Corporate Address

:

211 Lincoln Road, Miami Beach, FL 33139

Offering Minimum

:

$10,000.00

Offering Maximum

:

$1,070,000.00

Minimum Investment Amount

(per investor)

:

$200.00











Terms


Offering Type

:

Equity

Security Name

:

Common Stock

Minimum Number of Shares Offered

:

2,000

Maximum Number of Shares Offered

:

214,000

Price per Share

:

$5.00

Pre-Money Valuation

:

$5,000,000.00











*Maximum Number of Shares Offered subject to adjustment for bonus shares. See Bonus info below.


Company Perks*

Time-Based Perks

Friends and Family Early Birds

Invest within the 48 hours and receive an additional 15% bonus shares.

Super Early Bird Bonus

Invest within the first week and receive an additional 10% bonus shares.

Early Bird Bonus

Invest within the first two weeks and receive an additional 5% bonus shares.


Amount-Based Perks

$400+ | Baron / Baroness

Receive one macaron gift box.

$1,000+ | Count / Countess

Receive one assortment chocolate ballotin + one macaron gift box.

$2,000+ | Marquis / Marchioness

Receive one bottle Marquis de La Fayette Champagne + one assortment chocolate ballotin + one macaron gift box.

$5,000+ | Duke / Duchess

Receive six bottles of Marquis de La Fayette Champagne.

$10,000+ | Prince / Princess

Receive 5% Bonus Shares + six bottles of Marquis de La Fayette Champagne.

We’ll deduct 2 times your StartEngine investment from our franchise fees for your own location (qualified franchise applicants only).

*All perks occur when the offering is completed.


The 10% Bonus for StartEngine Shareholder

La Fayette Franchise, Inc. will offer 10% additional bonus shares for all investments that are committed by investors that are eligible for the StartEngine Crowdfunding Inc. OWNer's bonus.

This means eligible StartEngine shareholders will receive a 10% bonus for any shares they purchase in this offering. For example, if you buy 100 shares of common stock at $5/ share, you will receive and own 110 shares for $500. Fractional shares will not be distributed and share bonuses will be determined by rounding down to the nearest whole share.

This 10% Bonus is only valid during the investors eligibility period. Investors eligible for this bonus will also have priority if they are on a waitlist to invest and the company surpasses its maximum funding goal. They will have the first opportunity to invest should room in the offering become available if prior investments are cancelled or fail.

Investors will only receive a single bonus, which will be the highest bonus rate they are eligible for.

Irregular Use of Proceeds

The Company will not incur any irregular use of proceeds.

Show More
Most recent fiscal year-end:
Prior fiscal year-end:
Total Assets
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Cash And Cash Equivalents
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Accounts Receivable
$0.00 USD
$0.00 USD
Short Term Debt
$0.00 USD
$0.00 USD
Long Term Debt
$0.00 USD
$0.00 USD
Revenues And Sales
$0.00 USD
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Costs Of Goods Sold
$0.00 USD
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Taxes Paid
$0.00 USD
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Net Income
-$13,650.00 USD
$0.00 USD

Risks

A crowdfunding investment involves risk. You should not invest any funds in this offering unless you can afford to lose your entire investment. In making an investment decision, investors must rely on their own examination of the issuer and the terms of the offering, including the merits and risks involved. These securities have not been recommended or approved by any federal or state securities commission or regulatory authority. Furthermore, these authorities have not passed upon the accuracy or adequacy of this document. The U.S. Securities and Exchange Commission does not pass upon the merits of any securities offered or the terms of the offering, nor does it pass upon the accuracy or completeness of any offering document or literature. These securities are offered under an exemption from registration; however, the U.S. Securities and Exchange Commission has not made an independent determination that these securities are exempt from registration.


Updates

Les Moulins La Fayette's production center

19 days ago

Hello everyone,

Thank you so much for your support as we crossed the 100k milestone!

We’re extremely excited to post our campaign page video where you can see behind the scenes footage of the artisanal production center. 

We’re excited to continue pushing upwards and would appreciate sharing this with any friends or family. 

Below all of this post the video link as well for people to view.



Notice of Material Change in Offering

28 days ago

[The following is an automated notice from the StartEngine team].

Hello! Recently, a change was made to the La Fayette Franchise, Inc. offering. Here's an excerpt describing the specifics of the change:


La Fayette Franchise, Inc. provided updated financials, increased their max raise amount, and extended their campaign.


When live offerings undergo changes like these on StartEngine, the SEC requires that certain investments be reconfirmed. If your investment requires reconfirmation, you will be contacted by StartEngine via email with further instructions.

Notice of Funds Disbursement

about 1 month ago

[The following is an automated notice from the StartEngine team].

Hello!

As you might know, La Fayette Franchise, Inc. has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in La Fayette Franchise, Inc. be on the lookout for an email that describes more about the disbursement process.


This campaign will continue to accept investments until its indicated closing date.


Thanks for funding the future.

-StartEngine

Notice of Funds Disbursement

about 2 months ago

[The following is an automated notice from the StartEngine team].

Hello!

As you might know, La Fayette Franchise, Inc. has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in La Fayette Franchise, Inc. be on the lookout for an email that describes more about the disbursement process.


This campaign will continue to accept investments until its indicated closing date.


Thanks for funding the future.

-StartEngine

Notice of Funds Disbursement

3 months ago

[The following is an automated notice from the StartEngine team].

Hello!

As you might know, La Fayette Franchise, Inc. has exceeded its minimum funding goal. When a company reaches its minimum on StartEngine, it's about to begin withdrawing funds. If you invested in La Fayette Franchise, Inc. be on the lookout for an email that describes more about the disbursement process.


This campaign will continue to accept investments until its indicated closing date.


Thanks for funding the future.

-StartEngine

A huge thank you to our investors! We could use your help to build additional momentum.

3 months ago

Hello everyone,


We just wanted to give a huge thank you to the 62 people who have become investors in our campaign. Surpassing $40K in just 2 weeks is no small feat and we could not have done this without you. We couldn't be more excited to bring true french-baked goods to the US — and we truly believe we have a great model to accomplish this. 


As you're becoming a partial owner in La Fayette Franchise, we could use your help to grow this campaign. Equity Crowdfunding is a true community effort — and it would mean the absolute world to us if you could think of 3 people that may be interested in our campaign, and share this campaign with them!


Thank you all again for believing in us - we're so excited to be on this journey with you by our side.

Show More Updates End of Updates

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