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Haraz Coffee House

Haraz Coffee House

Haraz Coffee House operates quick-service cafes specializing in coffee blends from Yemen's Haraz mountains, along with espresso, teas, pastries, and related items, offering both in-cafe seating and carry-out services. The franchise business model involves licensing standardized cafe designs (1800-2500 sq ft in strip centers) with proprietary marks, recipes, supplier arrangements, and operational systems to franchisees. It targets the general public in the highly competitive quick-service coffee market, competing with national, regional, and local coffee chains.

29locations
$375K–$584K
Since 2023
Food & BeverageDearborn, MIwww.harazcoffeehouse.comDisclaimer

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Franchise Costs

Franchise Fee
$50,000
Initial Investment
$375,450 – $584,077
Royalty Rate
4.00%
Brand Fund
1.00%
Fixed Monthly Fees
$986 – $986

4% royalty + 1% ad fund + 1% local advertising + $986/mo technology fee

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$942,548
Median Gross Revenue
$1,003,234

Data Based On: 11 Haraz franchised Café's open and operating for the full fiscal year of August 1, 2024 through July 31, 2025 (12 months)

* Highest and Lowest values from Table IA were not used for revenue_top_quartile and revenue_bottom_quartile as they are not explicitly defined as quartiles or averages of top/bottom segments. Comprehensive expense data for COGS and labor costs was not provided, preventing the estimation of profit ranges.

Extracted Item 19 Section

Avg. Revenue: $942,548

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How Haraz Coffee House Compares

FranchiseInvestmentFeeRoyaltyLocations
Haraz Coffee House
Current
$375K – $584K$50K4.0%29
PANERA BREAD BAKERY-CAFÉ$633K – $4.9M$35K5.0%1,112
Scooter's Coffee$1.2M – $1.3M$40K6.0%882
SCOOTER'S COFFEE$1.2M – $1.3M$40K6.0%882
NOTHING BUNDT CAKES$667K – $1.0M$45K6.0%643
7 BREW$941K – $2.3M$35K7.0%578
Coffee & Bakery Average
45 franchises
$484K – $1.1M$39K5.5%

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 45 Coffee & Bakery franchises by location count.

Locations & Growth


Outlet Growth Over Time

Total outlets at end of each year

Geographic Distribution (2025)

Outlets by state across the United States

Top States
1CA
0
2FL
0
3IL
0
4MI
0
5NC
0
6NJ
0
7NY
0
8PA
0
9TN
0
10TX
0
11VA
0
12WI
0

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Franchisee Contacts

26 franchisee contacts on file from official FDD filings.

26 Contacts Available

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Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
0
Non-Renewals
0
Reacquired
0
Ceased Ops
0
Transfers
3
Sold to Franchisees
1
Projected New
28

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Frequently Asked Questions

The total initial investment to open a Haraz Coffee House franchise ranges from $375,450 to $584,077. This includes a franchise fee of $50,000. Ongoing royalty fees are 4.0% of gross sales.