The Honey Baked Ham Co.^®

Food & Beverage • Year: 2024

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What Is The Honey Baked Ham Co.?

The Honey Baked Ham Co. is a specialty food franchise focused on the retail sale of hams, turkeys and related products and operating on-site cafés that serve sandwiches, salads and beverages. Primary revenue streams come from retail sales of specialty hams and turkeys and from on-site café food and beverage sales, with sales notably affected by seasonal holidays such as Thanksgiving, Christmas and Easter. Stores are typically located in shopping centers, though they may also be freestanding locations.

The Honey Baked Ham Co. Franchise: Pros and Cons

The franchise's biggest strength is an unusually strong training and support score of 100, giving franchisees top‑quarter onboarding and ongoing help to run operations smoothly; its biggest risk is the franchisor's heavy corporate ownership—230 corporate locations (top 5%)—which can limit focus on supporting independent franchisees and complicate exits.

Pros

A training and support score of 100 is well above typical for ALL (top quarter), meaning you get unusually strong onboarding and ongoing support that makes day-to-day operations easier to run well.

With 439 outlets—well above typical for Food & Beverage (top 10%)—the brand has real scale, which helps marketing reach, supplier leverage, and customer recognition.

The $15,000 initial franchise fee is well below typical for Food & Beverage (bottom 10%), leaving you with more cash on hand for build-out and early operating expenses.

Cons

One franchisee-initiated settlement (well above typical for Food & Beverage, top quarter) combined with 5 reacquired outlets (well above typical, top 10%) suggests recurring disputes and that some operators have exited the system.

With 230 corporate-owned locations—well above typical for Food & Beverage (top 5%)—the franchisor's heavy corporate ownership may reduce its focus on growing and supporting independent franchisees, complicating your expansion and exit prospects.

An Item 7 minimum reserve of $50,000 is well above typical for Food & Beverage (top quarter), indicating higher ongoing monthly costs and meaning you'll need more cash on hand to keep the business running.

Lawsuits & Legal Risk

81/100

NORMAL

The Facts: A 2014 dispute with two former franchisees alleged misleading startup costs/revenues, substandard site approval, inadequate training, transfer refusal and territory overlap; HBH resolved the matter via a $150,000 settlement without admission of liability. The Advice: Review Item 7 and Item 19 claims, Item 11 training/support, and Item 12/17 territory and transfer terms; request franchisee references and the franchise agreement language on approvals.

Territory Protection

52/100

NORMAL

Grants a protected operating area where the franchisor will not place other physical units. The franchisor retains rights to sell via e-commerce and alternative distribution channels, to use different trademarks and venue/retail formats, and to develop additional units in the surrounding market; protection is contingent on performance contingencies.

Training & Support

100

Excellent

The brand provides a comprehensive 202-hour training curriculum designed to prepare two individuals to manage and operate a franchised location. The program includes on-site launch support for operational readiness; travel and lodging are the franchisee’s responsibility, and certain on-site assistance may be subject to additional fees.

How Much Does It Cost to Open a The Honey Baked Ham Co. Franchise?

Opening a The Honey Baked Ham Co. franchise requires a total initial investment of $448,600 to $858,900, according to the 2024 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$448,600

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$858,900

Minimum Investment Breakdown

Franchise Fee$30,000

Real Estate$192,700

Equipment & Assets$161,200

Reserves$50,000

Training$2,000

Other$12,700

Maximum Investment Breakdown

Franchise Fee$30,000

Real Estate$498,500

Equipment & Assets$243,300

Reserves$50,000

Training$7,500

Other$29,600

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do The Honey Baked Ham Co. Franchise Owners Make?

The Honey Baked Ham Co. franchise locations reported average gross sales of $951,245 and median gross sales of $880,776 in 2024, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$951,245

Median Gross Sales:

$880,776

High Gross Sales:

$2,764,727

Low Gross Sales:

$280,086

Sample Size:

203

Percent Attaining Average:

41.4%

Franchise vs Corporate Performance: Only franchised store performance is reported; average franchised net sales were 951,245 in fiscal 2023 and no company-owned/corporate data is provided for direct comparison.

Performance Variability Analysis: Net sales show wide dispersion (range 280,086 to 2,764,727) with the top third averaging 1,431,797 and the bottom third averaging 555,744, indicating substantial variability likely driven by location and operational factors.

Data Scope and Limitations: The figures are unaudited and expense/P&L detail is limited to 138 franchised stores for calendar 2022 (not 2023), and several stores were excluded, so results may not represent all franchised outlets.

Frequently Asked Questions

How much does it cost to open a The Honey Baked Ham Co. franchise?

The total initial investment for a The Honey Baked Ham Co. franchise ranges from $448,600 to $858,900, according to the 2024 Franchise Disclosure Document. This includes the franchise fee, real estate, equipment, training, and working capital.

What is the The Honey Baked Ham Co. initial franchise fee?

The initial franchise fee for The Honey Baked Ham Co. is $15,000, as stated in the 2024 FDD. This fee is paid upon signing the Franchise Agreement.

How much do The Honey Baked Ham Co. franchise owners make?

The Honey Baked Ham Co. franchise locations reported average gross sales of $951,245 and median gross sales of $880,776 in 2024, based on Item 19 of the Franchise Disclosure Document. Actual earnings vary by location, market, and operator experience.

Does The Honey Baked Ham Co. have any franchise lawsuits or legal issues?

The Honey Baked Ham Co. received a legal risk score of 81 out of 100 in the 2024 FDD analysis. The Facts: A 2014 dispute with two former franchisees alleged misleading startup costs/revenues, substandard site approval, inadequate training, transfer refusal and territory overlap; HBH resolved the matter via a $150,000 settlement without admission of liability.

Does The Honey Baked Ham Co. offer exclusive franchise territories?

The Honey Baked Ham Co. received a territory protection score of 52 out of 100. Grants a protected operating area where the franchisor will not place other physical units.

What training does The Honey Baked Ham Co. provide to new franchisees?

The Honey Baked Ham Co. received a training and support score of 100 out of 100. The brand provides a comprehensive 202-hour training curriculum designed to prepare two individuals to manage and operate a franchised location.

How many The Honey Baked Ham Co. franchise locations are there?

The Honey Baked Ham Co. had 439 total locations as of the 2024 Franchise Disclosure Document.

What type of business is The Honey Baked Ham Co.?

The Honey Baked Ham Co.

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