Wetzel's Pretzels
The total investment to open a Wetzel's Pretzels franchise ranges from $200,000 to $500,000. The initial franchise fee is $30,000. Ongoing royalties are 6% plus a 1% advertising fee.
What is the Wetzel's Pretzels franchise?
Wetzel's Pretzels is a quick service restaurant business that sells freshly baked soft pretzels to people looking for a quick snack. The 2026 Franchise Disclosure Document lists an estimated total initial investment of $200,000 to $500,000 and an initial franchise fee of $30,000.
The ongoing royalty is 6 percent of sales, and the advertising or brand fund fee is 1 percent. The document lists liquid capital of $100,000 and a required net worth of $400,000. The franchise agreement term is 10 years.
Wetzel's Pretzels was founded in 1994 and began franchising in 1996. Its headquarters are in Pasadena, CA.
Loan Activity Score
75/100
SBA Default Rate
10.3%
Active Lenders
58
According to its Franchise Disclosure Document or public business records, Wetzel's Pretzels has 122 locations, all owned by franchisees. Public SBA loan records show 58 lenders made 156 loans to franchisees of Wetzel's Pretzels. PeerSense calculates Wetzel's Pretzels's score as 75 out of 100, using public SBA loan performance and recent lending activity. Cost figures are based on the 2026 Franchise Disclosure Document.
Franchising since 1994 · 122 locations
$200,000 to $500,000
$30,000
122
122 franchised
Proprietary PeerSense metric
StrongDistinct lenders in public SBA records for Wetzel's Pretzels
156
Total SBA loans
$306K
Average loan size
Source: public SBA 7(a) and 504 loan records through December 31, 2025
Referral fee at closing
SBA Lending Activity for Wetzel's Pretzels
Loan Activity Score Breakdown
Major Brand (100+ loans)
Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.
Blended default rate (recent + all time) compared to NAICS sector peers.
Quality lenders actively backing this brand, with penalty for lender pullback.
FDD availability, Item 19 disclosure, and overall data completeness.
Geographic spread of SBA funded locations across states.
SBA Lending Performance
SBA Default Rate
10.3%
vs 10.3% peer avg
SBA Loans
156
Total Volume
$47.7M
Active Lenders
58
12 selective
States
26
vs. SBA Sector Average
SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors
Key Highlights
Franchise Financing Resources
Data Insights
Key performance metrics for Wetzel's Pretzels based on SBA lending data
SBA Default Rate
10.3%
SBA Loan Volume
156 loans
Across 58 lenders
Lender Diversity
58 lenders
Avg 2.7 loans per lender
Investment Tier
Significant investment
$200,000 to $500,000 total
Wetzel's Pretzels: Deep SBA Data
Brand specific metrics derived directly from SBA 7(a) approval records: peak lending year, leading state, average loan size, and lender concentration. PeerSense computes these per brand so capital advisors and prospective franchisees can benchmark this opportunity against the rest of the franchise universe.
Peak SBA Year
2016
13 approvals. The best year on record for Wetzel's Pretzels.
Top SBA State
California
49 SBA financed Wetzel's Pretzels locations, the densest operator footprint.
Average Loan Size
$396K
Median $317K. Use as a sizing anchor when modeling your own Wetzel's Pretzels unit.
Lender Concentration
29.5%
Moderately Spread
Share of Wetzel's Pretzels approvals captured by the top 3 SBA lenders.
Wetzel's Pretzels's SBA lending pipeline peaked in 2016 (13 approvals). The last five fiscal years account for 28% of cumulative volume ($24M approved). Operator density is highest in California with 49 SBA financed locations. Average funded ticket sits at $396K, with the median at $317K. Lender mix is moderately spread: the top three SBA lenders account for 29.5% of approvals. Meaningful choice exists, but specific lenders carry the brand.
Payment Estimator
Estimated Monthly Payment
$2,070
Principal & Interest only
Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.
Locations
Wetzel's Pretzels, unit breakdown
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
Last reviewed LinkedIn profileAbout Edward Freeman