10 Best Coffee Franchise Opportunities 2024

Did you know that per capita coffee consumption in the U.S. is 1.87 cups/day? As such, this could be a very profitable business industry to invest in. But if you want to take minimal risk, then this guide on the 10 best coffee franchise opportunities is just for you.

Since 60% of independent coffee shop businesses fail in the first year of business, a lot of people prefer to invest in franchises instead, as this saves them from the pain of building a brand from scratch.

So, if you are one of those people, then make sure to check out all the franchise options we have listed in this guide.

Best Coffee Franchise Opportunities

10 Best Coffee Franchise Opportunities

1. Biggby Coffee

Biggby-Coffee
Founded1995
Franchising Since1995
Estimated Outlets350
Initial Investment$246,305 – $564,626
Franchise Fees$20,000
Liquidity$100,000
Royalty Fees6%

Biggby Coffee began franchising in 1995 and has grown to more than 350 locations across 13 states in the U.S. This proves how successful Biggby Coffee’s franchise business model is.

Also, the brand claims that the average sales of their franchisees are more than the rest of the coffee shops in the industry.

This franchise is a low-cost and successful coffee franchise opportunity that you must consider investing in.

Read our complete guide to get more details about Biggby Coffee Franchise.


2. Aroma Joe’s Coffee

Aroma Joe’s Coffee
Founded2000
Franchising Since2013
Estimated Outlets70+
Initial Investment$500,588
Franchise Fees$12,500 – $25,000
Liquidity$200,000
Royalty Fees8%

Aroma Joe’s is a local destination for handcrafted coffee, espresso drinks, signature AJ’s RUSH Energy Drinks, and unique flavor infusion drinks. The company was founded in 2000 and has become a popular coffee franchise in the U.S. now.

This is a low-cost and profitable coffee franchise, and to be eligible for it, you do not need any industry experience. However, you must have a net worth of $350,000 and a minimum liquid capital of $200,000 to qualify.

To help you set up, the franchisor will offer you 31 hours of classroom training and 40 hours of store training to ensure you are fully prepared to run this business.


3. Scooter’s Coffee

Scooter's Coffee
Founded1998
Franchising Since2001
Estimated Outlets750
Initial Investment$797,000 – $1,341,500
Franchise Fees$40,000
Liquidity$250,000
Royalty Fees6%

Whether you have always wanted to open a coffee shop in your local area or wanted to invest in profitable business opportunities, investing in Scooter’s Coffee franchise is a great move.

The company started franchising in 2001 and has now expanded to a wide network of 750 locations. As per the company’s website, Scooter’s franchise owners enjoy a profit margin of 22.68% on average and make $301,851 in average revenue.

And to be eligible to own this franchise, you simply need a minimum net worth of $500,000 and liquid cash of $250,000.


4. Dunkin’

Dunkin'
Founded1950
Franchising Since1950
Estimated Outlets12,900+
Initial Investment$526,900 – $1,809,500
Franchise Fees$40,000 – $90,000
Liquidity$250,000
Royalty Fees5.9%

With a legacy of 70 years and locations spanning across 60 countries globally, Dunkin’ is one of the most successful coffee and baked goods franchises to invest in.

You can own either a single store or a multi-unit Dunkin’ franchise. To be eligible, you do not need industry experience; however, you need to have a net worth of $500,000 and a minimum of $250,000 in liquid assets.

Dunkin’ offers a reduction in franchisee fees and a veteran’s discount to eligible candidates as well.


5. The Coffee Bean and Tea Leaf

The Coffee Bean and Tea Leaf
Founded1963
Franchising SinceN/A
Estimated Outlets1000+
Initial Investment$359,500 to $785,500
Franchise Fees$12,500 – $25,000
Liquidity$100,000
Royalty FeesN/A

Established in 1963 in Southern California, The Coffee Bean and Tea Leaf is a leading global roaster and retailer of coffee and teas.

There are over 1000+ Coffee Bean stores in the world thanks to the extensive selection of good quality coffee and teas the company offers.

You can choose to open a traditional store of this franchise or a store at airports, hotels, military bases, etc., depending on the investment you can afford. So if you want to open a retail coffee franchise, then The Coffee Bean and Tea Leaf is the best option for that.


6. Dunn Brothers Coffee

Dunn Brothers Coffee
Founded1987
Franchising SinceN/A
Estimated Outlets52+
Initial Investment$501,620 – $739,23
Franchise Fees$40,000
Liquidity$100,000 
Royalty FeesN/A

Dunn Brothers Coffee was founded in 1987 by brothers Ed and Dan in Portland, Oregon. The company is known for its freshly brewed coffee and other baked goods.

The franchisor offers the needed training and support to help you set up the business smoothly.

However, the entry barrier for this franchise is quiet. In addition to a hefty net worth of $501,620 – $739,23, qualifying candidates need $100,000 in liquid cash and $500,000 in net worth.


7. PJ’S Coffee

PJ’S Coffee
Founded1978
Franchising Since1989
Estimated Outlets181
Initial Investment$207,000 – $1,131,000
Franchise Fees$25,000 – $35,000
Liquidity$150,000
Royalty Fees5%

Founded in 1978, PJ’s Coffee is known for its 100% Arabica coffee that it sources from Finca Terrerito or Agua Fresca. The brand originated in New Orleans but has now expanded internationally to even Vietnam and Kuwait.

The franchisor offers complete help, from evaluation, design, and construction to even training and ongoing support, to help you set up this business.

Also, if you buy multiple of this franchise, then you will get franchise discounts. Overall, this is a great opportunity that you can consider investing in.


8. The Human Bean

The Human Bean
Founded1998
Franchising Since2002
Estimated Outlets141
Initial Investment$552,350 – $1,058,850 
Franchise Fees$30,000 
Liquidity$200,000 
Royalty Fees0%

The Human Bean is a Western coffee chain that is known for its drive-thru espresso and coffee beverages.

The company was founded in 1998 in Oregon and has now expanded to over 141 locations in the U.S.

The investment to own this franchise is high. However, the franchisor does not charge any royalty fee from its franchisees, which makes this coffee franchise worth it.


9. Ziggi’s Coffee

Ziggi's Coffee
Founded2004
Franchising Since2016
Estimated Outlets75
Initial Investment$467,000 to $2,000,000
Franchise Fees$40,000
Liquidity$150,000
Royalty FeesN/A

Ziggi’s Coffee was founded in 2004 in Colorado and has over 75 locations across 16 states in the U.S. After running successful cafes & drive-thrus for over a decade, Ziggi’s Coffee came up with a successful business plan that shows in the success of its franchises.

Ziggy’s menu includes not only coffee but also smoothies, blenders, and some other food items. This allows franchisees to diversify their earnings.

To be eligible, you do not need any experience; however, you must have liquid cash of $150,000 and a minimum net worth of $350,000.


10. Caribou Coffee

Caribou-Coffee-
Founded1992
Franchising SinceN/A
Estimated Outlets700
Initial InvestmentN/A
Franchise FeesN/A
Liquidity$3,000,000
Royalty FeesN/A

Founded over 30 years ago, Caribou Coffee has expanded to over 700 locations around the world, thanks to its exceptional coffee quality.

Also, Caribou Coffee is going to be the first major U.S. coffeehouse to serve 100% Rainforest Alliance Certified coffee beans.

However, the barrier to entry of this franchise is very high. To be eligible, you need Multi-unit food & beverage or franchise experience, $3 million in liquid assets, and a minimum commitment to open 10+ locations.

If you have the qualifying capacity, then this could be a very profitable business for you.


Comparison Of 5 Coffee Franchise Opportunities

CompanyFoundedOutletsFranchise FeeInitial InvestmentRoyalty Fee
Biggby Coffee1995350 $20,000$246,305 – $564,6266%
Aroma Joe’s Coffee200070+$12,500 – $25,000$500,5888%
Scooter’s Coffee1998750$40,000$797,000 – $1,341,5006%
Dunkin’195012,900+$40,000 – $90,000$526,900 – $1,809,5005.9%
The Coffee Bean And Tea Leaf19631000+$12,500 – $25,000$359,500 – $785,500N/A

When Should You Choose A Coffee Franchise?

Here are some questions to ask yourself before investing in a coffee franchise:

Do I Mind Having Limited Control Over My Business?

When you buy a franchise, you will not get full control over your franchise business. The menu items, pricing, timings, recipe, etc., will all be controlled by the franchisor.

So, if you don’t mind having limited control, then franchising is great for you, and if not, then you should consider opening an independent business instead.

Do I Have The Needed Investment?

As you can see, Coffee franchises can be quite costly, so, before you go all in, you must find out if you can even afford to invest in such a franchise.

If yes, then you can take the next steps in planning, and if not, then you must work on building a solid net worth first.


Things You Need To Know Before Choosing A Coffee Franchise

Before you decide to invest in a Coffee franchise, here are some points that you must consider:

1. Royalty & Marketing Fee

Franchisors charge a set percentage of monthly royalty and marketing fees in return for allowing you to use their brand name.

This fee could be between 2%-10%. So make sure to invest in a coffee franchise that charges this fee on the lower side. This is because this fee will dictate how much money you will get to keep.

2. Payback Period

Your initial investment and revenue will determine the payback period of your franchise. If your earnings are less, then it will take more time for you to repay this amount.

So, make sure you choose an option that has a low payback period. A payback period under 5-6 years is ideal.

3. Failure Rate

Every franchise has a sucess or failure rate. So when buying a coffee franchise, you should look for an option that has a good success rate.

This will allow you to be confident about the investment you are making and will also allow you to dodge risky options.


Best Coffee Franchise Opportunities: Wrap Up

Investing in a franchise is a great way to start a business with low risk and enjoy an exisiting customer base and brand name.

So you have always wanted to start a coffee business be it a cafe or a retail store the 10 best Coffee Franchise opportunities mentioned in this guide, are some of the best options that you can find.


Best Coffee Franchise Opportunities: FAQ’s

How Much Does A Coffee Franchise Cost?

Based on the options that we have mentioned in this guide, a coffee franchise can cost you anywhere between $207,000 to $2,000,000. The investment will depend upon the kind of brand you want to invest in.

How Much Can I Make From A Coffee Franchise?

On average, coffee franchises easily generate net profits of $60,000-$160,000 annually. This amount can be higher depending on your location and the kind of franchise you decide to invest in.

Is Coffee Business Profitable?

The coffee industry generates over $70 billion annually and is a profitable industry to get into. And the best part is the cost of operation in this industry is usually low compared to other businesses, so this allows you to keep a higher profit percentage.

Which Is The Cheapest Coffee Franchise To Own?

As per the options shared in this guide, Biggby Coffee is the cheapest franchise to own, with an initial investment of $246,305 – $564,626, followed by Aroma Joe’s Coffee, with an initial investment of $500,588.

What Is The Profit Margin In Coffee Industry?

The average profit margin in the coffee industry is 2.5 to 6.8%. However, if the company roasts its own coffee, then this margin can increase to 8.79%.

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