As the country's favorite bakeshop chain, Goldilocks bakeshop has thrived for the past 40 years. Put up in 1966 by sisters Milagros and Clarita Leelin, and their sister-in-law, Doris Leelin, the once humble bakeshop that initially sold chiffon cakes now boasts of a network of 250 branches, all stamped with its tested name.

The first store was opened along Pasong Tamo Avenue in Makati (now a city) after Milagros and Clarita had dabbled on their hobby of making chiffon cakes and decorating cakes for many years. They settled on the name Goldilocks because it was both the name of a popular children's book character, and also signified good luck according to the founders' superstitious beliefs.

It's transformation from a small, boutique type bakery into a full service fast food restaurant has ensured that the company continues to expand and flourish. Aside from the quality cakes, breads, and pastries that have been its mainstays over the years, they have expanded their offerings to include dishes such as beef, chicken, and seafood, noodles and pasta, and a wide range of popular Filipino food fare under its Pinoydeli line.

Lin Deres, franchise relations manager of Goldilocks, says that another reason for their continued success is the company's stringent and careful selection of potential franchisees.

“The owners are naturally fond of food, of baking, and of cooking,” she explains. “Friends get to taste their food first. So, before they went into franchising in 1991, they made sure that everything was okay.”

It went into franchising in 1991 to further expand the business, offering a choice of franchise schemes to both first-time franchisees or seasoned investors.

The franchise fee for a Goldilocks bakeshop is P800,000 inclusive of VAT, and the investment cost for a store 60 to 80 square meters in size is P6 to P8 million. For a full store measuring 150 square meters to 200 square meters maximum, the franchise fee is P1.2 million and the total investment cost is P10 to P13 million.

Deres says Goldilocks intends to continue to grow the business through franchising.

“We have chosen franchising as the path to business expansion, and because people associate the Goldilocks brand with their many needs, many investors are interested in applying for the franchise,” she says.

(This story is an abridged version from the July issue of Entrepreneur Magazine's Franchise Awards 2009. To read the full story behind other successful franchises, grab a copy of the magazine at your nearest bookstore and Mini-Stop branches nationwide. For the franchise fact sheet, visit our company directories by clicking here )