Biggby Coffee Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$20,000
Investment required
$328,000 - $793,000
Royalty fee
6.00%

Biggby Coffee: Cultivating Community and Quality in Every Cup

Established in 1994, Biggby Coffee began franchising in 1999. Headquartered in East Lansing, Michigan, this coffee shop chain has successfully established itself in the competitive coffee industry by prioritizing community engagement and exceptional customer service.

Biggby's menu features more than just coffee, offering a variety of espresso-based drinks, teas, smoothies, and baked goods. The company aims to create a warm and inviting space for its customers.

What sets the franchise apart is its thorough training program for franchisees, held in East Lansing, Michigan, with potential virtual training components. This program ensures that franchisees are well-prepared to operate a successful coffee shop, adhering to Biggby's high standards of quality and service.

The culture at Biggby Coffee emphasizes building community connections, with each location serving as a local hub where customers can enjoy top-notch beverages in a welcoming environment.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Whitebox Leasehold Modular Site-built Location (with or without Drive-thru)
Initial Franchise Fee $20,000 $20,000 $20,000
Leasehold Improvements $165,000 - $295,000 Included in Construction Costs Included in Construction Costs
Site Improvements Not applicable $83,000 - $323,000 Included in Construction Costs
Construction Costs Included in Leasehold Improvements $193,500 - $237,500 $300,000 - $398,000
Equipment, Furniture and Decor $77,000 - $125,000 $43,000 - $74,000 $74,000 - $112,000
Architectural and Engineering $7,500 - $15,000 $13,250 - $24,000 $12,000 - $20,000
Building Permits $7,500 - $15,000 $8,500 - $14,250 $8,500 - $15,000
Signage (Interior and Exterior) $10,000 - $22,000 Included in Construction Costs $11,500 - $24,000
Real Property Rental or License $6,000 - $18,500 $6,000 - $18,500 $6,000 - $18,500
Initial Inventory $10,000 - $15,000 $10,000 - $15,000 $10,000 - $15,000
Insurance - General Liability, Property, EPLI and Workers Compensation $1,500 - $2,000 $1,500 - $2,000 $1,500 - $2,000
Utility Expense $500 - $4,000 $500 - $5,000 $500 - $5,000
License Permits and Other $1,000 - $2,500 $1,000 - $2,500 $1,000 - $2,500
Initial Advertising and Grand Opening Promotions $9,500 $9,500 $9,500
Miscellaneous Travel and Living Expenses for Training $500 - $5,000 $500 - $5,000 $500 - $5,000
Organizational Expenses $2,000 - $2,500 $2,000 - $2,500 $2,000 - $2,500
Additional Funds - 3 months $10,000 - $40,000 $10,000 - $40,000 $10,000 - $40,000
Total Estimated Initial Investment $328,000 - $591,000 $402,250 - $792,750 $467,000 - $689,000

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Number of units

2024
Franchised units

245

262

304

Company-owned units

0

0

0

Total units

245

262

304

Franchise Disclosure Document

Training 

Biggby Coffee delivers a thorough initial training program to educate franchisees on every aspect of managing their franchise. The recommended timeframe to complete this training is within 30 to 45 days prior to the franchise opening. Training materials encompass manuals, quizzes, and homework sheets to reinforce learning. 

New Barista Training: This foundational training focuses on preparing individuals to make coffee and engage with customers effectively. 

On-the-Job Training: This practical training covers multiple roles, including Shotpuller, Milksteamer, and Cashier, ensuring that both franchisees and their teams are proficient in all store positions.

Manager in Training Course: This specialized course is tailored for those assuming managerial duties within the franchise.

Territory Protection

Franchisees are mandated to run their Biggby Coffee franchise exclusively from a designated location, specified in the Franchise Agreement.

This location must receive approval from the franchisor, and any changes to this location require the franchisor's consent. The criteria for approving a new location are aligned with those used for the initial location approval.

Consequently, while franchisees are assigned a specific location for their operations, they do not possess an exclusive territory beyond this approved site. Their business activities are restricted to the designated and sanctioned location.

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