The Coffee Beanery vs Van Houtte Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of The Coffee Beanery vs Van Houtte including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees

 
The Coffee Beanery Franchise
Van Houtte Franchise
Investment $112,500 - $496,100$250,000 - $300,000
Franchise Fee $15,000$27,500
Royalty Fee 4%5%
Advertising Fee 2%-
Year Founded 19761919
Year Franchised 19851983
Term Of Agreement 10-20 years10 years
Term Of Agreement 10-20 years10 years
Renewal Fee 25% of initial fee-


Business Experience Requirements

 
The Coffee Beanery Franchise
Van Houtte Franchise
Experience
  • General business experience
  • Retail experience
  • -

    Financing Options

     
    The Coffee Beanery Franchise
    Van Houtte Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/NoNo/No
    Start-up Costs No/NoNo/No
    Equipment No/YesNo/No
    Inventory No/YesNo/No
    Receivables No/NoNo/No
    Payroll No/NoNo/No

    Training & Support

     
    The Coffee Beanery Franchise
    Van Houtte Franchise
    Training --
    Support Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluationsMeetings, Grand opening, Field operations/evaluations, Purchasing cooperatives
    Marketing Co-op advertising, Ad slicks, National mediaCo-op advertising, Regional advertising
    Operations International franchisees required to buy multiple units/master licenses; 30% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 14 - 17

    Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators)

    5% of all franchisees own more than one unit

    Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)


    Expansion Plans

     
    The Coffee Beanery Franchise
    Van Houtte Franchise
    US Expansion Yes-
    Canada Expansion NoNo
    International Expansion YesYes

    Company Overviews

    About The Coffee Beanery

    With help from her husband, Julius, JoAnne Shaw decided to take a chance. In 1976 she opened The Coffee Beanery, a specialty coffee shop, in Dearborn, Michigan. The company began franchising in 1985. The Coffee Beanery offers streetfront café franchises, as well as locations in malls, airports, office buildings, hospitals and college campuses across the United States. In 1998 the company opened its first international location in Guam and now offers master franchises in China, Korea and the Middle East.

    The total investment necessary to begin operation of a Traditional Store without Food Store Model ranges from $260,000 to $476,100, which includes $25,000 to $31,500 that must be paid to the franchisor or its affiliates.
    The total investment necessary to begin operation of a Traditional Store with Food Store Model ranges from $260,000 to $496,100, which includes $25,000 to $31,500 that must be paid to the franchisor or its affiliates.
    The total investment necessary to begin operation of a Kiosk Store Model ranges from $185,000 to $369,100, which includes $25,000 to $31,500 that must be paid to the franchisor or its affiliates.
    The total investment necessary to begin operation of a Co-Branded Store Model ranges from $140,000 to $339,100, which includes $25,000 to $31,500 that must be paid to the franchisor or its affiliates.
    The total investment necessary to begin operation of a Conversion Store Model ranges from $112,500 to $351,600, which includes $17,500 and $24,000 that must be paid to the franchisor or its affiliates.

    About Van Houtte

    Albert-Louis Van Houtte, a French immigrant, set up his first grocery store in Montreal in 1919. Van Houtte stocked the store with specialty products from Europe, including coffee. Each day he would roast small batches of coffee in the back of his shop, and soon Van Houtte had built up a reputation in Montreal for selling quality coffee. In the more than 80 years since its founder began roasting European coffees, A.L. Van Houtte Cafe-Bistro has grown beyond Montreal and has expanded its menu. Today, each cafe-bistro serves a variety of coffee and espresso drinks, as well as teas, soups and sandwiches.