BAB Inc (OTC: BABB) is a food service franchising company that franchises specialty bagel and muffin retail stores under the Big Apple Bagels, My Favorite Muffin, and Brewster's coffee brands. Revenue comes from franchise fees and royalties paid by franchisees operating under these brands. BAB Inc operates through three wholly owned subsidiaries: BAB Systems, Inc., which holds the franchising operations; BAB Operations, Inc.; and BAB Investments, Inc. BAB Systems was incorporated on December 2, 1992, with the Big Apple Bagels concept as its core. My Favorite Muffin was acquired in 1997, and Brewster's coffee was established in 1996 and sold within BAB and MFM locations. The company reported net income of $559,000 for the fiscal year ended November 30, 2025, compared to $525,000 for the fiscal year ended November 30, 2024. Net operating income was $722,000 in FY2025 versus $665,000 in FY2024. Franchisees represent a varied geographic distribution across the United States.

Revenue model

Franchise fees and royalties collected from franchisees operating Big Apple Bagels, My Favorite Muffin, and Brewster's coffee locations. The model is royalty-based, with BAB Inc earning recurring fees rather than operating stores directly.

Products and services

Big Apple Bagels specialty bagel retail stores; My Favorite Muffin retail stores (acquired 1997); Brewster's coffee, sold within BAB and MFM locations (established 1996).

Customers and end markets

Franchisees are the direct customers. End consumers are retail food service customers purchasing specialty bagels, muffins, and coffee. The franchisee base is geographically distributed across the United States.

Value-chain role

Franchisor. BAB Inc licenses brand, systems, and operating standards to franchisees; it does not operate retail locations directly.

Geographic exposure

United States. Franchisees represent varied geographic distribution across the country, per the FY2025 10-K filed 2026-02-24.

Source: SEC 10-K, filed 2026-02-24

Industry: Retail-Eating Places Peers: Amergent Hospitality Group Inc. bowmo, Inc. Kisses From Italy Inc McDonald's Corp Noble Roman's Inc