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Below is an in-depth analysis and side-by-side comparison of Tim Hortons vs Java Daves including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $135,300 - $2,068,500 | $500 |
Franchise Fee | $35,000 | N/A |
Royalty Fee | 4.5% | - |
Advertising Fee | 4% of Gross Sales | - |
Year Founded | 1964 | - |
Year Franchised | 1965 | - |
Term Of Agreement | 10 years | - |
Term Of Agreement | 10 years | - |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | *An entrepreneurial drive and ability to build a high performing team. *Prior management experience. Experience in food service and/or restaurant operations is a plus. *A lifestyle that allows for the time commitment required to launch and build a franchise restaurant. *Net worth of $500,000 and liquidity in the amount of $300,000 (The full investment from a Tim Hortons could be over $1,600,000) *A personal passion and commitment to the development of the Tim Hortons brand. *Ability to exemplify and execute the Tim Hortons principles and standards of operation on a daily basis. *Understand the importance of being a community partner that is proud to represent Tim Hortons. | - |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | -/- |
Start-up Costs | No/No | -/- |
Equipment | No/No | -/- |
Inventory | No/No | -/- |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | New franchisees undergo an intensive seven week training program at the Tim Hortons University, located next to the Oakville, Ontario, head office. The facility includes classrooms and a fully operational Restaurant, providing trainees with intensive hands-on experience in the preparation of all Tim Hortons products. Strong emphasis is placed on food handling and hygiene procedures, Team Member relations, equipment maintenance and in-Restaurant security systems. * Seven (7) week training program in the Oakville, Ontario, at Tim Hortons University * A Restaurant opening crew/Manager of Operations Standards (MOS) to assist the opening of the Tim Hortons Restaurant (for a maximum period of two weeks) | - |
Support | * The use of all Tim Hortons Manuals * Support from head office personnel who have vast knowledge in the food service business | - |
Marketing | Ad slicks, Regional advertising | - |
Operations |
58% of all franchisees own more than one unit Number of employees needed to run franchised unit: 25 - 30
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | - |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | - |
International Expansion | Yes | - |
In March 2003, the Java Dave’s Franchise System began it’s conversion into a licensing opportunity. Our past growth has now led us to be able to offer a proven product and a popular brand to business owners or entrepreneurs without the expensive costs of franchising. Licensees DO NOT pay royalties, advertising fees, or franchise fees. The only cost up front is a $499.95 licensing fee, renewable every five years.
Java Dave’s licensed locations include major fast food locations, university hot spots, casinos, international airports, and even co-branded locations with food concepts. Java Dave’s Coffee is a great way to add branding and sales to coffeehouses that desire a fresh appeal. Java Dave’s fresh roasted coffees, blended and flavored teas, frozen Davios drink mixes coupled with logo pump pots, logo cups, logo menu boards, signage and posters promote a professional, fun, coffeehouse hotspot.