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Below is an in-depth analysis and side-by-side comparison of Dunn Bros Coffee vs Lasaters Coffee & Tea including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $406,300 - $608,500 | $257,000 - $310,000 |
Franchise Fee | $37,500 | $35,000 |
Royalty Fee | 5% | 0 |
Advertising Fee | 3% | 1% |
Year Founded | 1987 | 2004 |
Year Franchised | 1994 | 2006 |
Term Of Agreement | 10 years | 10 years |
Term Of Agreement | 10 years | 10 years |
Renewal Fee | 25% of current fee | 0 |
Business Experience Requirements |
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Experience | $60,000-$90,000 in liquid capital, management/business ownership history | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/Yes | -/- |
Start-up Costs | No/No | -/- |
Equipment | No/No | -/- |
Inventory | No/No | -/- |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | On-The-Job Training: 270-420 hours Classroom Training: 46-61 hours Additional Training: As needed | Ongoing |
Support | Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Franchisee Intranet Platform | - |
Marketing | Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app | Local marketing to be approved |
Operations |
30% of all franchisees own more than one unit Number of employees needed to run franchised unit: 15 Absentee ownership will be considered, but is not preferred Number of Employees Required to Run: 10 - 20 | Owner operators preferred, absentee ownership allowed Currently 100% Owner operators |
Expansion Plans |
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US Expansion | No | - |
Canada Expansion | No | - |
International Expansion | No | - |
Dunn Bros Coffee was founded in 1987 by Ed and Dan Dunn, who opened their
first store in St. Paul, Minnesota. The second location opened in 1991
in downtown Minneapolis. Since then, Dunn Bros Coffee has expanded steadily, to
more than 70 locations, first to Texas in 2004, then to other states,
including Wisconsin, Iowa and Missouri, North and South Dakota,
Tennessee, Kansas, and Nebraska.
A Dunn Bros Coffee franchise is a surefire business opportunity. The support team at Dunn Bros Coffee has decades of experience and expertise in all aspects of successful coffee shop operations, construction, marketing and franchising. In fact, members of their team have been franchisees, so they know what others need to succeed. The franchise experience at Dunn Bros Coffee starts with the top-quality training and support, and Dunn Bros Coffee dedicates the resources to ensure franchisees’ receive the skills and knowledge they need to create the high standard Dunn Bros Coffee shop. After opening, Dunn Bros Coffee provide ongoing support with a franchise business manager, continual assistance with operations, and training in business management, customer service, merchandising and more.
Seeking new franchise units in Iowa, Kansas, Minnesota, Missouri, North Dakota, South Dakota, Tennessee, Texas and Wisconsin
If you'd like to start your own business, but simply do not have the experience or know-how to operate a successful operation, Lasaters Corporation may be able to help you open your own Lasaters Coffee & Tea Franchise. We manufacture many of our own high-quality products which ensures incredible quality control. We custom-roast our own coffees. We develop relationships with single-origin coffee growers in different regions in various countries. Our Franchisees do not get coffee that's been sitting on the shelf for weeks or months (or even years, like some of our national competitors). Our Franchisees order coffee - we roast it within 24 hours!Lasaters Corporation negotiates on behalf of their Franchisees. Many coffeehouse operators who are just getting started in the coffee industry experience the difficulties that surround opening and running a coffeehouse. From the freight costs, to the product research, there is a multitude of roads that can be taken. How do you negotiate better pricing than what your local distributor or wholesaler offers? How do you find out which product is more cost effective? Which road do you take? This is another benefit of owning a Lasaters Coffee & Tea Franchise! Our Franchisees need not negotiate with other vendors to try to minimize their costs - that is already done for you! What does it take to start a Lasaters Coffee & Tea Franchise? First, you will need to submit some basic information to verify you're ready to start franchising. Next, if you are approved, we will contact you for a meeting. The process is fairly quick and you may be on your way to opening your new Lasaters Coffee & Tea store within a matter of weeks!