About Coffee Beanery Franchise
The Coffee Beanery is a specialty coffee franchise offering espresso beverages, coffee beans, tea, spices, food items like salads and sandwiches, baked goods, and branded merchandise.
The brand provides multiple store formats including traditional locations, co branded setups, convenience store partnerships, and container based models.
The franchise fee ranges from $10,000 to $15,000 for the initial store.
Coffee Beanery Franchise Cost & Fees
Minimum Investment
$143K
Average Investment
$280K
Maximum Investment
$417K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $10,000 - $15,000 | One-time payment upon signing |
| Royalty Fee | 4% of Net Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Net Sales | National brand fund |
| Total Investment Range | $143,000 – $417,000 | Includes build-out, inventory, working capital |
The investment range of $143K–$417K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4% of Net Sales) and marketing fee (2% of Net Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| INITIAL FRANCHISE FEE | $15,000 | $15,000 |
| OPENING INVENTORY AND SUPPLIES | $6,500 | $13,000 |
| EQUIPMENT, FIXTURES, SIGNAGE & LEASEHOLD IMPROVEMENT | $150,000 | $250,000 |
| INITIAL LAUNCH MARKETING MATERIALS | $3,500 | $5,000 |
| FIRST THREE MONTHS’ RENT & SECURITY DEPOSIT | $9,000 | $35,000 |
| TRAINING EXPENSES | $3,000 | $5,000 |
| MISCELLANEOUS OPENING COSTS | $3,000 | $5,000 |
| ADDITIONAL FUNDS—THREE MONTHS | $20,000 | $50,000 |
| COMPUTER AND POS SYSTEM | $3,000 | $9,000 |
| DRIVE-THROUGH | $0 | $30,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $7,500 |
| Renewal Fee | $5,000 |
| Technology Fee | $100 per month |
| Audit Fee | Cost of audit, as well as the amount due as a result of any underreporting, plus interest. |
| POS SOFTWARE FEE | $200 per month for point of sale (POS) and, if required, inventory management controls |
| ONGOING INVENTORY PURCHASES AND MINIMUM PURCHASING REQUIREMENTS | Minimum inventory of $5,000 for Traditional Store Model and Drop-Down Store Model; varies for Co-Branded and Convenience Store Models. |
| TRAINING FEE(S) | $350/trainer per day, plus expenses (for requested or remedial training) |
| CONVENTION CONTRIBUTION | $400 covers attendance for first 2 individuals |
| REIMBURSEMENT FOR MAINTENANCE OF STORE AND INSURANCE | Varies depending upon the maintenance required or the cost of insurance where your store is located |
| COSTS AND ATTORNEYS’ FEES | Actual cost for costs and attorneys fee; varies depending upon the dispute. |
| INTEREST | Lesser of 1.5% per month or highest contract rate of interest allowed by law. |
| INDEMNIFICATION | Varies under circumstances depending upon the liability incurred because of your operations. |
| ADVERTISING & PROMOTIONAL MATERIALS | Varies based on materials being provided as part of a designated promotion or other designated promotional campaign. |
| LIQUIDATED DAMAGES | An amount equal to the royalties paid in the 60-month period immediately before termination due to material breach, or average monthly royalties multiplied by 60 if less than 60 months, or remaining months in term if fewer than 60 months. |
| POST-TERMINATION AND POST-EXPIRATION EXPENSES | Costs and expenses associated with ceasing operations and de-identifying yourself with the System |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 7 to 10 calendar days for Operations Training, plus up to 7 calendar days for On-Site Training. Total classroom hours: 35; Total on-the-job hours: 60. |
| Classroom Training | 35 hours |
| On-the-Job Training | 60 hours |
| Training Location | Operations Training in Flushing, Michigan; On-Site Training at the franchisee's Store. |
| Additional Training | Franchisees and/or designated managers may be required to attend up to 7 days of refresher/additional training or remedial training annually. Attendance at the Coffee Beanery national convention and/or regional training events is also required. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Description | Franchisees will not receive an exclusive territory and may face competition from other franchisees, company-owned outlets, or other distribution channels controlled by the franchisor. The franchisor retains all rights to establish other franchised or company-owned stores, sell products bearing proprietary marks, and manufacture/distribute coffee and related products in any area without restriction or compensation to the franchisee. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 5 years |
| Renewal Fee | $5,000 |
| Renewal Conditions | Timely written notice (9-12 months prior to term end), no uncured material defaults, execution of franchisor's then-current franchise agreement, payment of renewal fee, attendance at prescribed refresher training, execution of a general release, participation in training/marketing programs, and agreement to re-image/renovate/refurbish/modernize the premises and business. |
| Transfer Fee | $7,500 |
| Transfer Conditions | All monetary and other obligations to franchisor satisfied, mutual general release executed, transferee signs franchisor's then-current franchise agreement and pays transfer fee, transferee meets franchisor's educational/managerial/business/financial standards, transferee upgrades store premises, transferee and manager complete training, and franchisee reimburses franchisor for review/approval/training costs. Franchisee must not be in default. |
| Termination for Cause | Bankruptcy, failure to open Store, abandonment of Store, certain breaches of the Franchise Agreement, material misrepresentations, repeated defaults after cure, trademark misuse, unapproved transfers, nonpayment of fees and debts, failure to execute covenants, non-renewal of lease, criminal conviction, false books and records, no insurance, 5% or more understatement of payments or two understatements in two years, failure to find Approved Location by one year after executing Franchise Agreement, or breach of any other agreement between franchisee and franchisor. |
| Non-Compete Period | 1 year |
| Non-Compete Details | During the term, prohibition against owning, operating, advising, working in, being associated with, or making loans to a Competing Business or any business offering licenses/franchises for a Competing Business. Post-term, for one year, prohibition against involvement with a Competing Business at the Approved Location or within a 10-mile radius of the Approved Location or any other COFFEE BEANERY Store, or any business offering licenses/franchises for a Competing Business. Exception for less than 5% ownership of publicly traded companies. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Unless otherwise approved in writing, the franchisee or their designated Store manager must devote full-time and best efforts to the management and operation of the Store. The franchisee or manager, and other designated employees, must attend and satisfactorily complete required training programs. Each store must employ a manager (who can be the owner) who has completed training, is certified, and works substantially full-time at that store. |
| Required Suppliers | Franchisees must purchase all food and beverage items, other inventory, branded paper goods, equipment, loyalty program, certain furniture and fixtures, signage, small-wares, merchandise, initial launch marketing materials, quarterly marketing campaigns, and the gift card program from the franchisor or designated/approved suppliers. The franchisor is currently the only approved supplier for the Initial Launch Marketing Materials Kit, opening inventory (including uniforms), ongoing purchases of coffee products, drink ingredients, branded paper goods, and certain Technology Fee services. |
| Supply Restrictions | Franchisees may only market, offer, sell, and provide Approved Products at their Store in conformance with System standards. Any product or service not on the Approved Products list, or any item not meeting System standards, requires prior written approval from the franchisor. The franchisor reserves the right to require purchases from approved or designated suppliers, which may include itself or its affiliates, and may develop proprietary products requiring purchase from them. |
| Franchisor Revenue from Suppliers | For the fiscal year ending June 30, 2024, the franchisor derived $1,183,924 (9.30%) of its total revenue of $12,732,306 from franchisees’ Required Purchases. |
Coffee Beanery Franchise Earnings — Item 19
Coffee Beanery does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Coffee Beanery does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Coffee Beanery Litigation & Risk Flags
Clean Litigation RecordCoffee Beanery has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Coffee Beanery System Growth
Total Units
28
Franchised
27
Company-Owned
1
Coffee Beanery currently operates 27 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2022 | 3 | 10 | 27 |
| 2023 | 2 | 2 | 27 |
| 2024 | 1 | 1 | 27 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 6 states: IL, IN, MD, MI, NY, VA
Franchisor Financials (Item 21)
Revenue
$12.7M
Net Income
$254K
Total Assets
$5.2M
Audited by Taylor & Morgan, P.C. for year ending June 30.
Coffee Beanery Franchise — FAQ
The total investment to open a Coffee Beanery franchise ranges from $143,000 to $417,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $10,000 - $15,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Coffee Beanery charges a royalty fee of 4% of Net Sales of gross sales, plus a 2% of Net Sales contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Coffee Beanery Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Coffee Beanery to ensure you have the most up-to-date version.
Coffee Beanery does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Coffee Beanery has been franchising since 1985. The FDD shows an investment range of $143,000-$417,000, a 4% of Net Sales royalty, and no Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $10,000 - $15,000 and the total investment ranges from $143,000 to $417,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Coffee Beanery and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Coffee Beanery or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com