Black Rifle Coffee Franchise Cost, Owner Salary & Profit 2023

The coffee industry is one of the biggest industries in the world, and it only looks to grow even more every day.

That’s why this industry provides an amazing opportunity for those who want to own a business. It’s easier to run than other businesses and easier to get customers onboard.

To make things easier, you can always buy the brand name of a coffee shop that is already popular, like Black Rifle Coffee.

With its strong brand presence and dedicated following, Black Rifle Coffee has become a go-to destination for coffee enthusiasts across the nation.

Whether you’re a beginner entrepreneur or experienced, Black Rifle Coffee’s franchise model offers an exciting chance to turn your dreams into reality.

This article will talk about everything related to Black Rifle Coffee and its franchise system.

Black Rifle Coffee Franchise

About Black Rifle Coffee

Black Rifle Coffee is a dynamic and fast-growing coffee franchise that serves roasted coffee beverages and the baked goods they make on-premises.

The company is committed to providing veterans, military, and first-aid personnel both on the customer and employee sides.

Black Rifle Coffee is owned by a veteran, and they are most popular for their political stances and online presence.

With the aim to employ 10,000 veterans, the owner and the founder, Hofer, has been trying to expand his business to reach this aim.

That’s why they started to franchise and put more time and effort into their wholesale business.

Now, they have over 1,700 locations across the United States, serving premium coffee and employing veterans or spouses of active military personnel.


Black Rifle Coffee History

Black Rifle Coffee History

A former Green Beret, Evan Hofer, started Black Rifle Coffee in 2014 with a small amount of coffee roast.

He started by selling coffee in his friend’s clothing store and grew quickly, opening their own stores and launching their website with their brand.

The company’s main aim is to support veterans, US troops, the military, and second amendment rights.

Over time, they grew in the American community and started serving premium coffee.

They kept on focusing on providing other kinds of support and content to veterans and active military and first-responder officers.

Once Hofer realized that he couldn’t keep on with the demand, he wanted to expand his business faster to support more veterans.

That’s why he started franchising in 2017. Black Rifle Coffee quickly reached over 1,700 stores as of 2022, and they are aiming to empower 10,000 veterans in the future.

Does Black Rifle Coffee Offer Franchising?

As of 2023, Black Rifle Coffee offers franchising opportunities for individuals interested in starting their own coffee business under the brand. Prospective franchisees can invest in a Black Rifle Coffee Company franchised business with an initial cost ranging from $427,260 to $972,680, which includes a mandatory payment of $75,000 to the franchisor or an affiliate.


Franchise Model Table

Cost or Fee
Amount or Percentage
Initial Investment       $427,260-$972,680
FranchiseYES
Franchising Since2017
Franchise-Fee$35,000-$75,000
Royalty-Fee6%
Liquidity$200,000-$250,000
Estimated Outlets1700+

How Much Does It Cost To Open A Black Rifle Coffee Franchise?

The total cost required to start a franchised business with Black Rifle Coffee Company ranges from $427,260 to $972,680. This cost includes a mandatory payment of $75,000 to the franchisor or an affiliate.


Black Rifle Coffee Franchise Requirements

Even though Black Rifle Coffee is a franchise, they are still not providing a lot of information openly to the public about their franchise system.

So it’s hard to see what exactly they require, but some resources show us what they are looking for in prospective franchisees. There are two main types of requirements, experience and capital.

You need to have at least two years of experience in the restaurant business. It’s a big help if you have management experience in the industry, too.

On the capital side, the candidates must have liquid capital of between $200,000 and $250,000 and a minimum net worth of $500,000.


Black Rifle Coffee Revenue & Profit

Black Rifle Coffee StatsValue
Total Revenue (2022)$301.3 million
Total Number of Stores1,700
Gross Profit (2022)$99.2 million
Net Revenue per Store$177,000
Estimated Profit Margin per Store15-20%
Estimated Profit per Store (Minimum)$26,550
Estimated Profit per Store (Maximum)$35,400

Black Rifle Coffee is an extremely profitable company that’s been seeing a tremendous increase in profit and revenue.

According to the latest report by the company, they made $301.3 million in net revenue in 2022. This is a %29.3 increase from the last year. Of this revenue, they made $99.2 million in gross profit. This is also a 10% increase from the previous year.

There is no information about how much a franchised branch makes on average, but it’s easy to make an estimation.

Black Rifle Coffee has about 1,700 stores and $301 million in revenue, which equals about $177,000 net annual revenue per store. Each store generally has a profit margin of between %15 and %20.


How Much Does A Black Rifle Coffee Franchise Owner Earns?

The specific salary of a Black Rifle Coffee franchise owner is not available in the provided information. However, based on the estimated net annual revenue per store of $177,000 and a profit margin of 15% to 20%, the gross profit for each store could range from $26,550 to $35,400.


Failure Rate Of Black Rifle Coffee

Franchised Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
2019000
202003+3
202138+5

For the Franchised outlets:

  • In 2019, the failure rate was (0)/0×100≈0.00%
  • In 2020, the growth rate was (3)/0×100≈0.00%
  • In 2021, the growth rate was (5)/3×100≈166.66%

According to the above-mentioned data, we can see that the franchised outlets for Black Rifle Coffee grew from 2020 to 2021, showing a growth rate between 0.00% and 166.66%.


Black Rifle Coffee Franchise Terms of Agreement and Renewal

Black Rifle Coffee Franchise Terms of Agreement

There is no set amount for the Black Rifle Coffee franchise’s terms of the agreement, but according to a document by SEC, it’s generally ten years.

The initial franchise fee you pay to the company gives you the right to use the brand’s trademark for the specified term in the agreement.

According to the document, this is generally ten years. After that, a renewal might be possible, depending on whether both parties are willing to do so.

The details of the renewal of the agreement are not revealed, and you can only discuss this with Black Rifle Coffee itself. There might be different conditions than the initial franchise agreement.


Black Rifle Coffee Franchise Obligations and Restrictions

When you sign a franchise agreement with Black Rifle Coffee, you need to follow some rules, and you will have some restrictions.

These are generally to ensure that you provide the same service as all other locations and have the same quality.

The franchisor might cancel your agreement if you don’t follow these obligations or restrictions.

All franchisees are required to own a physical store to sell only the company products. Also, you can’t resell these company products anywhere other than your store, including your own website.

If you want to be eligible for an annual discount tier, you are obligated to purchase a minimum of $100,000 in Black Riffle Coffee products.

Lastly, as the franchisee, you can’t sell any products or services that the franchisor didn’t approve beforehand.


Black Rifle Coffee Franchise Financial Assistance

There is no information about whether the company provides direct or indirect financial assistance to prospective franchisees.

You will have to contact them directly to learn more about the opportunities they offer. However, finding financial assistance on your own is also possible.

Since you will be operating a business, you might be eligible for loans from institutions like banks.

Depending on your financial situation, you might get cheap or expensive loans, or you could find other ways, such as crowdfunding or taking in investors.

Finding the best way will depend on you and your individual situation.


Black Rifle Coffee Comparison

CompanyFranchise FeeRoyalty FeeInitial Investment
Biggby Coffee$20,0006%$246,305–$564,626
Dutch Bros.$30,0005%$150,000-$500,000
Black Rifle Coffee$35,000-$75,0006%$427,260-$972,680

Conclusion

Black Rifle Coffee is a fairly new premium coffee brand that serves premium coffee in their brick and mortar and online shops.

Founded in 2014, they started to franchise in 2017 in the hopes of expanding the business way faster than traditional methods.

If you would like to become a part of the BRCC brand by buying a franchise, you can easily do so.

Your expected initial investment in your location would be between $427,000 to almost $1 million, including the initial franchise fee of between $35,000 and $75,000.

On top of this, you are also expected to pay a 6% profit margin on your gross sales.

An average expected net revenue of a Black Rifle franchise branch is about $177,000, and you can have about a 15% to 20% profit margin from this annual revenue once you remove all the expenses.

Overall, Black Rifle Coffee is an extremely profitable franchise opportunity with high brand recognition.


FAQs

How much is a Black Rifle Coffee franchise?

The expected initial investment to open a Black Rifle Coffee franchise is about $425,000 to almost $1 million.

This could be way higher or lower than expected, depending on many different variables, such as your location and size.

The franchise fee of $35,000-$75,000 is also included in this cost.

Is the Black Rifle Coffee franchise profitable?

Black Rifle Coffee is an extremely profitable company, and its franchised locations are also expected to do extremely well.

The company had $301 million in net revenue in 2022; this equals about $177,000 in annual revenue per store.

By calculating your expenses, you can figure out the average profit. The average profit margin when you remove the expenses is between 15% to 20%.

Can you fail with a Black Rifle Coffee franchise?

Like running any other business, failing with a Black Rifle Coffee franchise is possible.

It mostly depends on how you run the business and how much sales you make. If you can manage the store well, you won’t fail, but if not, you will probably fail.

Who owns Black Rifle Coffee?

Evan Hafer is the founder and CEO of Black Rifle Coffee.

Where is Black Rifle Coffee headquartered?

The headquarters of Black Riffle Coffee is Salt Lake City, Utah.

How Many Black Rifle Coffee Locations Are There?

Black Rifle Coffee has 18 “outposts,” including nine company-owned and nine franchised locations selling both coffee and branded merchandise. It’s ready-to-drink product can be found in over 47,000 locations.

Sources

https://www.wboy.com/business/press-releases/ein-presswire/626483872/black-rifle-coffee-company-stock-brcc-announces-strong-full-year-2022-financial-results/

https://www.einnews.com/pr_news/626483872/black-rifle-coffee-company-stock-brcc-announces-strong-full-year-2022-financial-results

https://www.sec.gov/Archives/edgar/data/1836707/000110465922003812/tm2131392-25_defm14a.htm

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