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The Coffee Bean & Tea Leaf
The Coffee Bean & Tea Leaf franchise offers Traditional and Special Distribution stores or kiosks featuring premium coffee beverages, espresso drinks, premium teas, roasted coffee beans and blends, prepackaged coffees and teas, baked goods, snacks, and branded merchandise like coffee equipment, cups, and apparel. These outlets operate in various venues including standalone locations, airports, hotels, universities, malls, and other institutional settings, targeting consumers seeking high-quality specialty coffee and tea products. The business model focuses on franchising single units or area developments with operational support from affiliates.
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Franchise Costs
5.5% royalty + 2% central marketing fund + $700-$1,500/mo cafe technology fee + $200-$750/mo customer facing technology fee
Financial Performance
Item 19 Financial Performance
Data Based On: Data for 69 franchised stores across three categories (Drive Thru, Traditional, and Special Distribution Stores) in operation for the entirety of the 2024 fiscal year.
* Calculated weighted average gross revenue: (10 units × $1,208,767 + 13 units × $790,902 + 46 units × $1,213,382) / 69 total units = $1,133,115.48. Calculated weighted average revenue for top quartile: (3 units × $1,670,054 + 3 units × $1,155,607 + 11 units × $2,420,517) / 17 total top quartile units = $2,064,862.94. Calculated weighted average revenue for bottom quartile: (3 units × $786,306 + 3 units × $475,814 + 11 units × $356,813) / 17 total bottom quartile units = $453,606.06. Median gross revenue taken from the largest franchised segment (Table 5: Franchised Special Distribution Stores with 46 units) as an overall median could not be accurately calculated from segmented medians without full data.
Extracted Item 19 Section
Avg. Revenue: $1,133,115
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Unlock financial performance dataThe Coffee Bean & Tea Leaf Franchise Analysis
A premium coffee brand backed by Jollibee Foods catches eyes with Item 19 revenue disclosures that stand out in the FDD, yet the system's recent trajectory raises eyebrows. Traditional stores and kiosks in high-traffic spots like airports and malls promise quality brews, but a contracting footprint hints at challenges beneath the surface. Can high sales potential offset operational hurdles for aspiring owners?
The most jarring data point? U.S. locations shrank from 52 in 2023 to 50 in 2024—a 4% decline (FDD Item 20)—despite 130 total worldwide units. Item 7 lays out a steep initial investment of $940,665-$1,430,177, including a $25,000 franchise fee, driven by buildouts for kiosks or full cafes in premium venues. Ongoing fees bite hard: 5.5% royalty on gross sales (Item 6), 2% brand fund, plus $700-$1,500 monthly cafe tech fee and $200-$750 customer-facing tech fee. Item 19 shines brightly, reporting average gross revenue of $1,133,115 and median $1,040,495 across comparable outlets, suggesting strong top-line potential if you nail location and operations.
System health metrics reveal risks: litigation history (Item 3) includes disputes with area developers over breach of contract, misrepresentation, and denied transfers, signaling potential franchisor-franchisee tensions. No profit figures in Item 19, but after 7.5% total fees (~$85K-$100K annually at median sales) and high occupancy costs in institutional spots, EBITDA might hover 10-15% or $100K-$150K—viable but pressured. With franchising since 2019 under Jollibee, growth stalled domestically; investors must probe why units are closing amid million-dollar sales, weighing if kiosks offer lower entry versus full stores' revenue upside.
Analysis based on the 2025 Franchise Disclosure Document. All figures should be independently verified before making investment decisions.
How The Coffee Bean & Tea Leaf Compares
Key Insights
- Higher investment than 90% of Coffee & Bakery franchises
- Top 10 largest franchise system in Coffee & Bakery
| Franchise | Investment | Fee | Royalty | Locations |
|---|---|---|---|---|
The Coffee Bean & Tea Leaf Current | $941K – $1.4M | $25K | 5.5% | 130 |
| PANERA BREAD BAKERY-CAFÉ | $633K – $4.9M | $35K | 5.0% | 1,112 |
| SCOOTER'S COFFEE | $1.2M – $1.3M | $40K | 6.0% | 882 |
| NOTHING BUNDT CAKES | $667K – $1.0M | $45K | 6.0% | 643 |
| GREAT AMERICAN COOKIES | $341K – $463K | $25K | 6.0% | 395 |
| 7 BREW | $894K – $2.2M | $35K | 4.5% | 297 |
Coffee & Bakery Average 39 franchises | $489K – $1.1M | $39K | 5.5% | – |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 39 Coffee & Bakery franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
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Unlock location growth dataFranchisee Contacts
74 franchisee contacts on file from official FDD filings.
74 Contacts Available
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Unlock contactsDue Diligence
Litigation (Item 3)
Disputes with area developers and former franchisee owners involving breach of contract, misrepresentation, good faith violations, and denial of franchise agreement transfers.
Bankruptcy (Item 4)
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
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Unlock due diligence reportsFrequently Asked Questions
The total initial investment to open a The Coffee Bean & Tea Leaf franchise ranges from $940,665 to $1,430,177. This includes a franchise fee of $25,000. Ongoing royalty fees are 5.5% of gross sales.
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