illy is a premium café franchise offering espresso beverages, coffee, pastries, and packaged products, serving coffee connoisseurs and travelers, and known for Italian espresso heritage, design-driven cafés, and consistently high-quality blends.
KEY FRANCHISE STATS
Franchisees
?
17
+
31%
31%
Franchise fee
?
$40,000
Investment
?
$402,000 - $2,006,000
Revenue (AUV)
?
Undisclosed
$0
+
n.a.
n.a.
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illy is a premium Italian coffee brand that offers franchise opportunities through its coffee-bar concept “illy Caffè.” Founded in 1933 by Francesco Illy in Trieste, Italy, the company has grown into a globally recognized name in espresso culture.
Headquartered in Trieste, the business remains family-controlled and is led today by the third generation of the Illy family. The brand began offering franchising arrangements in key markets such as the United States in September 2008 and Canada in March 2009.
illy specializes in high-quality espresso coffee, sold as whole beans, ground coffee, single-serve pods, and through its elegant café concept. The franchise model supports café setup “down to the very last detail,” emphasizing illy’s hallmark of quality and Italian design.
What sets illy apart is its commitment to 100% Arabica beans, proprietary packaging pressurization technology invented in the 1930s, and a design-rich café experience that embodies authentic Italian coffee culture.
Initial investment
The initial investment required for a illy franchise is
$402,000 - $2,006,000.
That is the total cost you would need to finance if you were to start this franchise.
These costs are provided by the franchisor in the Franchise Disclosure Document.
Type of Expenditure
Amount
Initial Fee
$40,000
Site Visit
$1,000 to $7,000
Leasehold Improvements
$35,100 to $582,500
Equipment
$100,000 to $584,220
Computer System
$15,000 to $40,000
Inventory
$20,000 to $40,000
Uniforms
$3,000 to $10,000
Utility Deposits
$2,000 to $5,000
Travel and Accommodations for Training
$4,000 to $12,000
Insurance
$6,000 to $20,000
Opening Marketing
$10,000 to $40,000
Business Licenses and Professional Services
$10,000 to $20,000
Liquor Licenses
$2,500 to $200,000
Pre-opening Training/Food Costs
$3,000 to $5,000
Additional Funds (6 months)
$150,000 to $400,000
Total Estimated Initial Investment (excluding rent/real estate)
$401,600 to $2,005,720
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Type of Expenditure
Amount
Initial Fee
$40,000
Site Visit
$1,000 to $7,000
Leasehold Improvements
$35,100 to $582,500
Equipment
$100,000 to $584,220
Computer System
$15,000 to $40,000
Inventory
$20,000 to $40,000
Uniforms
$3,000 to $10,000
Utility Deposits
$2,000 to $5,000
Travel and Accommodations for Training
$4,000 to $12,000
Insurance
$6,000 to $20,000
Opening Marketing
$10,000 to $40,000
Business Licenses and Professional Services
$10,000 to $20,000
Liquor Licenses
$2,500 to $200,000
Pre-opening Training/Food Costs
$3,000 to $5,000
Additional Funds (6 months)
$150,000 to $400,000
Total Estimated Initial Investment (excluding rent/real estate)
$401,600 to $2,005,720
Franchise Disclosure Document
Below is illy's 2024 Franchise Disclosure Document. Upgrade to Pro or purchase the FDD to view and download the document.
Number of units
illy had 17 total units in 2024, of which 17 were franchised-owned and 0 company-owned.
Illy Caffè provides several structured training programs to its franchisees to ensure consistency and quality across its retail locations:
Initial Training Program: At least 30 days before opening a new retail location, Illy provides a mandatory training program for the franchisee, designated owners, and/or employees. This training is conducted at times and locations designated by Illy. Participants must be actively employed or under contract for the location. The training covers operational standards and is a prerequisite before opening the store.
Ongoing Training: After the initial training, Illy may provide ongoing training sessions at its discretion. These are designed to keep the franchisee and staff updated with new practices, standards, and improvements to the Illy system.
Replacement Training: If a trained manager or key personnel leaves, the franchisee must inform Illy within 7 days and identify a replacement within 21 days. The new personnel must complete the initial training to Illy’s satisfaction before assuming management duties.
Territory Protection
Illy Caffè grants limited territorial protection to its franchisees during the term of the agreement. The franchisor commits not to establish or license another Retail Location within the specific territory outlined in the franchisee's agreement.
However, this protection does not extend to all types of Illy operations or sales, as the franchisor retains the right to operate or license others in specific “Reserved Facilities” like airports, hotels, and grocery chains, even if they fall within the franchisee’s territory.
Additionally, Illy Caffè retains broad rights to sell products through a variety of channels such as mail order, the Internet, or retail kiosks, regardless of their impact on the franchisee’s sales. The franchisor can also operate or license similar businesses using the brand’s marks (excluding “ILLY CAFFÈ”) inside or outside the franchisee’s territory.
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