Coffee Franchise Opportunities – From Beans To Bucks

There are a lot of coffee franchise opportunities out there if you’re thinking of going into business for yourself but with the security of having a company back you up. In this article I’ll try and give you a run down of what to expect if you invest in one of the many coffee franchise opportunities out there. Now having said that, please understand that I have never owned a franchise before, although I am partial to the franchise business opportunity model. If I had a few bucks I’d think of going this route, especially if I wanted to work for myself.

I’m going to make one assumption. You obviously love coffee. Why else would you be here reading this blog and especially this one which is focusing on the coffee franchise business model. So with that said, brew yourself your favorite coffee beverage, or make yourself a nice latte and let’s get into the dark roasted beans of what to expect from coffee franchise opportunities.

Advantages of coffee franchise opportunities

Many of the pluses of owing and operating a coffee franchise will be the same for other franchises too. That is perhaps the best advantage of the franchise model, it is scalable across businesses and opportunities. So onto the benefits of owning a coffee franchise:

3 benefits of coffee franchise opportunities

1. Higher rate of success
It has been shown that most new businesses fail in the first few years. Not to scare you, but the failure rate of new businesses in the first few years is around 70% to 80%. Compare this to franchises, where the SUCCESS rate is 80%. Those odds are much better for your long term success.

2. Help from get up to go
Many a coffee franchise opportunity is a turnkey setup. You get a ton of help and training before you even open your store and oftentimes all equipment, such as the coffee makers, coffee tables and other material is included. Ongoing training is also provided and you get the benefit of all marketing done at a corporate level.

3. Purchasing power
Being a part of a large conglomerate you are able to access head office’s purchasing power. They’re buying for a lot of franchisees and as such they can demand substantial savings and these savings are passed onto you.

There you have it, the top 3 benefits of the best franchise opportunities. But the grass is not just green on that side of the franchise fence. Let’s take a look at the 3 biggest disadvantages of your coffee franchise opportunities.

1. It’s a dictatorship not a democracy
Many franchisees think they are going into business for themselves and while this is true in theory, you have very little say over the larger aspects of how you run your business. So make sure that you fully understand the fine print in the coffee franchise opportunity that you are interested in buying into.

2. Start up costs are indicative of success
This one is perhaps a double-edged sword. But the more successful a coffee franchise opportunity is then generally the more it will cost to buy into. So you need deep pockets or access to the amount of financing needed.

3. Ongoing costs and the pound of flesh
Tying in with point number one. When investigating coffee franchise opportunities make sure you are well aware of the ongoing costs that you will be assessed for marketing and advertising amongst other things, and also take into account the the percentage of revenues that he corporation is entitled too.

That’s an overview of what to expect from coffee franchise opportunities. I had hoped to give you some explicit examples of some of the coffee franchise opportunities out there, but alas, that will have to wait until next time.