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Below is an in-depth analysis and side-by-side comparison of Orange Julius of America vs Sonoma Coffee Cafe including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $194,200 - $380,600 | $96,500 - $248,000 |
Franchise Fee | $20,000 - $35,000 | $25,000 |
Royalty Fee | 6% | 4% |
Advertising Fee | - | - |
Year Founded | 1926 | 2006 |
Year Franchised | 1948 | 2007 |
Term Of Agreement | 15 years (co-terminus w/lease) | - |
Term Of Agreement | 15 years (co-terminus w/lease) | - |
Renewal Fee | $2.5K | - |
Business Experience Requirements |
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Experience | Sonoma Coffee Cafe is looking for individuals that are self-motivated "people" persons who have good marketing and relationship-building skills and a demonstrated passion for success - the cornerstone of our business model. Industry knowledge or background is not necessary as this is taught during our training program and continues throughout your franchise relationship. | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/No |
Start-up Costs | No/No | No/Yes |
Equipment | No/No | No/Yes |
Inventory | No/No | No/Yes |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | - | - |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Field operations/evaluations, Purchasing cooperatives | - |
Marketing | Co-op advertising, Ad slicks | - |
Operations |
Number of employees needed to run franchised unit: 10 - 20
Absentee ownership of franchise is allowed. | - |
Expansion Plans |
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US Expansion | - | - |
Canada Expansion | No | - |
International Expansion | Yes | - |
When Julius Freed opened his first orange juice stand in 1926, he was doing well, but his real estate broker, Bill Hamlin, felt he could do better. Using his chemistry background, Hamlin devised a formula to give the juice a smooth, creamy and airy texture. Once the new drink was unveiled, sales at the stand grew from $20 to $100 a day. As more and more customers began to say, 'Give me an orange, Julius,' the new product got its name.
Hamlin quit his job in real estate and focused on opening Orange Julius stores across the United States. Within three years he had opened 100 stores and the profits for the system, whose only product was a 10-cent drink, approached $3 million. Other drink flavors were added to a menu that now includes nachos, hamburgers and hot dogs.
Orange Julius' parent company, International Dairy Queen, also owns Dairy Queen and Karmelkorn. The three concepts are franchised together at Treat Center stores.
NO LONGER FRANCHISING
A Sonoma Coffee Cafe establishment is an idea not an item. The endorsed franchisee is acquiring the privilege to take an interest in that business idea, in this way dispensing with the requirement for exorbitant improvement, statistical surveying, and copyright and legitimate administrations which are connected with free new companies. Since we are granting an establishment permit, you should know how a franchisee is relied upon to perform and what our commitments are to you. We will explain the correct terms of the relationship in our Uniform Offering Circular (UFOC) and the Franchise Agreement. When you qualify as a franchisee and turn into a licensee of the Sonoma Coffee Cafe establishment framework, we put our endeavors into showing you the Sonoma Coffee Cafe framework. Since the achievement of your establishment is fundamentally reliant on how well you take after our framework, we are focused on you at all times. Our powerful arrangement of operation will give you the edge important to make a flourishing business.