He subsequently earned a Master of Business Administration and a Master of Information Systems from the University of Nebraska at Omaha. Scooter's Coffee started as a dream of Don and Linda Eckles, who believed that people need quality coffee served from convenient locations. Additionally, you will need to have access to at least $50,000 in liquid capital to cover the costs of opening and operating the business. Franchise Training at Scooter's Coffee 7. We have always built our brand around amazing coffee as well as the amazing people who truly make Scooters Coffee what it is. Of those franchised Stores, 146 Kiosk and 73 Coffeehouse Stores were open and operating during the entire 12-month period ending December 31, 2020 (the Measurement Period). while meeting budget expectations and achieving a $100,000 profit . Entrepreneur Franchise 500 Rank: 11 th. This statement includes average customer ticket sales of Kiosk and Coffeehouse franchised Stores that were open during the entire 12-month period ending December 31, 2020 (the Measurement Period) and that provided complete information Scooters Coffee requested respecting such costs. Number and Percentage That Attained or Exceeded the Average: 90/48%, Number and Percentage That Attained or Exceeded the Average: 59/42%, Number and Percentage That Attained or Exceeded the Average: 44/44%, Number and Percentage That Attained or Exceeded the Average: 42/50%, Number and Percentage That Attained or Exceeded the Average: 39/56%, Number and Percentage That Attained or Exceeded the Average: 28/55%, Number and Percentage That Attained or Exceeded the Average: 23/56%, Number and Percentage That Attained or Exceeded the Average: 18/49%, Number and Percentage That Attained or Exceeded the Average: 36/46%, Number and Percentage That Attained or Exceeded the Average: 38/51%, Number and Percentage That Attained or Exceeded the Average: 32/51%, Number and Percentage That Attained or Exceeded the Average: 27/50%, Number and Percentage That Attained or Exceeded the Average: 22/42%, Number and Percentage That Attained or Exceeded the Average: 19/49%, Number and Percentage That Attained or Exceeded the Average: 17/53%, Number and Percentage That Attained or Exceeded the Average: 16/52%. Last updated on November 22, 2022 by Franchise Chatter Leave a Comment in Coffee Franchise, FDD Talk: Food Franchises, Franchise Earnings. Get ready for the franchising industry's biggest trade show event of the year. Scooters Coffee is a drive-thru franchise company that has been serving world-class coffee for more than 20 years and is approaching 450 locations in 23 states across the nation. And once 2018 rolled around, they had a total of 171 franchise locations. For every Pup Cup provided on April 22, the Katy location donated $2 to the Houston Humane Society. This statement includes average Gross Sales for the first full calendar month of operations for all franchised Kiosk Stores and Coffeehouse Stores that opened for operation in each of calendar years 2018 to 2021. Founded in 1998 in Ashland, Oregon, The Human Bean franchise is a drive-thru coffee concept with 79 locations 66 are franchised, and 13 are corporate locations in 10 states. The franchise grew by almost 50 locations in 2020, while experiencing historic same-store sales growth. Definition: A discount or other incentive offered to military veterans who buy a franchise with this company. Your results may differ. There were 189 Kiosk and 77 Coffeehouse franchised Stores open and operating as of December 31, 2020. The franchise grew by almost 50 locations in 2020, while experiencing historic same-store sales growth. Nationwide trends indicate that consumers want easy access to specialty coffee and quality service. In Scooters Coffees experience, Card Processing costs an average 2.6% of Gross Sales, and Scooters Coffee has used this figure in calculating the estimated Card Processing expenses in the above charts. What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. Rather, you may need to deduct taxes, debt interest expenses, and other costs. In mid-April 2022, Scooters Coffee celebrated the grand opening of its 400th location in Katy, Texas. For the profits, we used net profits instead of EBITDA here, which we assume to be 15% of sales (which makes sense given EBITDA is around 21%, in line with similar restaurants). Scooter's Coffee franchisees have two options for franchise models: our drive-thru kiosk model or a welcoming drive-thru coffeehouse model. airports, hospitals, stadiums, train stations, malls, military bases, amusement parks, and business atriums), or within other businesses such as large office buildings. 11. Purchasing a coffee shop franchise should be more than buying a job; it should be an opportunity for entrepreneurial growth. You also agree to our Privacy Policy. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees. ), Franchises: 150+ templates built specifically for franchisees, from restaurants, gyms, home services and more, 104 on-the-job hours and 56 classroom hours, Scooters Coffee franchises pros and cons. 14. Lets find out! Scooter's Coffee May 2022 - Present 11 . As a result, non-traditional Stores operate differently from Kiosk and Coffeehouse Stores, as they generally do not have a drive-thru or significant customer seating available, may not have standard hours of operation, and typically are not located in freestanding locations that are visible to the public from outside. As the name suggests, Scooter's Coffee is where coffee connoisseurs can "scoot in and scoot out" as they enjoy its premium coffee products. Leader. Definition: A ongoing fee paid to the franchisor on a regular basis. The Initial Franchise Fee for an individual Scooter's Coffee Store, regardless of the type of Store you purchase, is $40,000 for each Store. To create an amazing experience for each life we touch. For each year, Scooters only included franchised Kiosk and Coffeehouse Stores that remained open and operating as of December 31, 2020. In Scooters Coffees experience, Overhead expense is an average of $42,000 for Kiosk Stores and Coffeehouse Stores, and it has used these figures in calculating the estimated Overhead expenses in the above charts. Number and Percentage That Attained or Exceeded the Average: 59/42%, Number and Percentage That Attained or Exceeded the Average: 44/44%, Number and Percentage That Attained or Exceeded the Average: 42/50%, Number and Percentage That Attained or Exceeded the Average: 39/56%, Number and Percentage That Attained or Exceeded the Average: 28/55%, Number and Percentage That Attained or Exceeded the Average: 23/56%, Number and Percentage That Attained or Exceeded the Average: 18/49%, Number and Percentage That Attained or Exceeded the Average: 38/51%, Number and Percentage That Attained or Exceeded the Average: 32/51%, Number and Percentage That Attained or Exceeded the Average: 27/50%, Number and Percentage That Attained or Exceeded the Average: 22/42%, Number and Percentage That Attained or Exceeded the Average: 19/49%, Number and Percentage That Attained or Exceeded the Average: 17/53%, Number and Percentage That Attained or Exceeded the Average: 16/52%. The top quartile among those stores saw an average unit volume just shy of $1 million thanks to their essential function. Scooters Coffee, which was ranked a top franchise in Entrepreneurs annual Franchise 500 for 2020, is an amazing opportunity for anyone opening a coffee shop. See more Food Franchises in USA in the catalog . 4. 2. This role builds and leads a friendly, service-oriented barista team, sets a high-energy work pace, drives sales, increases profit, and demonstrates an engaged . But, ultimately, a coffeehouse or drive-thru coffee kiosk is a business. This statement includes average Gross Sales of Participating Stores (both Participating Kiosk Stores and Participating Coffeehouse Stores) for each of calendar years 2014 to 2020. Since Scooter's Coffee hit the market, the brand has maintained a solid reputation among customers who depend on its commitments to quality. How much money can you make with a Scooters Coffee franchise? Of those franchised Stores, 172 Kiosk and 75 Coffeehouse Stores were open and operating during the entire 12-month period ending December 31, 2021 (the Measurement Period). Details can be found in Item 12 of the FDD. In this article were looking at Scooters Coffee from the perspective of its latest Franchise Disclosure Document to find out whether you should invest in this franchise. Approaching 500 locations across the U.S., Scooter's Coffee provides customers with responsibly sourced coffee served by amazing people, all from a convenient 664 square foot drive-thru kiosk. Subscribe, save & smile. There is no . The remaining Kiosk and Coffeehouse franchised Stores open as of December 31, 2021 are not included in the statement below because they were not open during the entire Measurement Period or did not provide complete information requested. The term Gross Margin means the Net Sales minus the Cost of Goods Sold. Before making any financial commitment or signing an agreement, you must perform your due diligence and establish if this is the right opportunity for you. $19.99. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high. Royalty also includes the 2% Marketing Contribution. This ever-growing brand has more than 275 locations across 17 states, including coffeehouses and drive-thru kiosks. With commitments to build new stores in 30 states, the company plans to open many additional locations in 2022. In each section, the franchised Stores that meet the criteria in this Item 19 are referred to as Participating Stores (for all such franchised Stores), or for a particular type of Store, Participating Kiosk Stores or Participating Coffeehouse Stores.. This is an average of both the Kiosk Store and the Coffeehouse Store. Net Sales are measured by taking Gross Sales and subtracting customer discounts and refunds to customers. The following are statements of Sales, Expenses, and Earnings for Participating Kiosk Stores and Participating Coffeehouse Stores based upon reported results and actual and estimated expenses. Definition: The initial fee paid to a franchisor to join their system. This information is based upon the top 43 of 172 Drive-Thru Kiosks that were open during the entire 2021 calendar year and provided complete information. Need help? See Item 19 of the FDD for more information. The company is seeking to expand its reach even further, potentially making it an intriguing option for entrepreneurs. Franchised Same-Store Sales Growth Over Prior Year: 31.70%, Total Number of Open Franchised Outlets Whose Data Were Used: 102, Number and Percentage of Outlets That Attained or Exceeded Average: 46/45.10%, Franchised Same-Store Sales Growth Over Prior Year: 19.63%, Total Number of Open Franchised Outlets Whose Data Were Used: 61, Number and Percentage of Outlets That Attained or Exceeded Average: 31/50.82%, Franchised Same-Store Sales Growth Over Prior Year: 26.49%. Earnings Before Depreciation, Interest, Taxes, and Debt Service: $138,202 (21.3%), Earnings Before Depreciation, Interest, Taxes, and Debt Service, Earnings Before Depreciation, Interest, Taxes, and Debt Service: $112,737 (15.9%), Your email address will not be published. According to FranchiseChatter.com, a unit of The Human Bean yields average profits of at least $100,000 with a caveat. Whats Driving Coffee Shop Sales In 2023? Email franchisechatterblog@gmail.com, Your website and you have been instrumental in finding this franchise opportunity and I am overwhelmingly grateful. (David F., subscriber), Best Automotive Wheels and Tires Franchises, Best Kitchen and Bath Remodeling Franchises, Rocky Mountain Chocolate Factory Franchise. In this FDD Talk post, youll learn the following: Appoints New Vice President of Development. Heyman will transform Scooters Coffees technology capability, allowing the company and brand to differentiate itself when providing best-in-class franchise support systems and elevating an amazing experience for its loyal and new customers. Franchise Chatter is reader-supported. Of these 31 Drive-Thru Kiosks that compile the top quartile: (1) 17 of them (or 40%) had an AUV that met or exceeded $1,179,980, (2) 19 of them (or 44%) had a Net Profit Margin and EBITDA that met or exceeded the average. Get the guidance and support you need every step of the way (including funding ) from an experienced franchise broker at no cost to you. Scooters Coffee Continues Growing in Iowa, Scooters Franchise Owner Salary vs. Competition. Same-store sales for locations open for at least 13 months is measured each year. Your email address will not be published. The same-store sales growth figures below compare the Net Sales (as defined below) earned by Participating Stores over the course of a calendar year with the Net Sales earned by the same Stores during the prior calendar year. Scooters Coffee has not verified or audited this information. Scooter's Coffee was founded in 1998 by Don and Linda Eckles in Bellevue, Nebraska. Which Franchise Is Right for You? Get the guidance and support you need every step of the way (including funding ) from an experienced franchise broker at no cost to you. With a vision of combining high-quality drinks and speedy service, Scooter's Coffee opened in 1998, with franchising beginning in 2001. Franchise Chatter is reader-supported. Total Number of New Stores That Opened During the Calendar Year: 95, Average Gross Sales During the First Full Month of Operations: $85,852, Number and Percentage That Attained or Exceeded the Average: 42/44.2%, Median Gross Sales During the First Full Month of Operations: $83,347, Low Gross Sales During the First Full Month of Operations: $35,521, High Gross Sales During the First Full Month of Operations: $162,422, Total Number of New Stores That Opened During the Calendar Year: 39, Average Gross Sales During the First Full Month of Operations: $66,775, Number and Percentage That Attained or Exceeded the Average: 19/48.7%, Median Gross Sales During the First Full Month of Operations: $66,652, Low Gross Sales During the First Full Month of Operations: $27,221, High Gross Sales During the First Full Month of Operations: $102,739, Total Number of New Stores That Opened During the Calendar Year: 43, Average Gross Sales During the First Full Month of Operations: $44,686, Number and Percentage That Attained or Exceeded the Average: 20/46.5%, Median Gross Sales During the First Full Month of Operations: $42,132, Low Gross Sales During the First Full Month of Operations: $13,063, High Gross Sales During the First Full Month of Operations: $111,917, Total Number of New Stores That Opened During the Calendar Year: 26, Average Gross Sales During the First Full Month of Operations: $36,742, Number and Percentage That Attained or Exceeded the Average: 12/46.2%, Median Gross Sales During the First Full Month of Operations: $35,936, Low Gross Sales During the First Full Month of Operations: $13,336, High Gross Sales During the First Full Month of Operations: $66,643. Why Drink Franchises are the Easiest Franchises to Own, Kim Ellis Joins Scooters Coffee as Chief Development Officer to Cultivate Franchisee Success as Company Continues Nationwide Expansion. Scooter's Coffeehas been ranked in Entrepreneur's Franchise 500 multiple times in recent years. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems. 5. Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened. 2. The term Rental Expense includes the total amount of payments to the franchisees landlord, including base rent, common area maintenance, real estate taxes, and insurance. Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 96/52%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 66/47%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 50/50%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 43/51%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 35/45%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 32/43%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 29/47%, Number and Percentage That Attained or Exceeded (or Did Better Than) the Average: 28/52%. You also agree to our Privacy Policy. The app is available for download on the App Store or Google Play. Over the last 7 years, Participating Stores in the Scooters system has experienced same-store sales growth that breaks down as follows: Franchised Same-Store Sales Growth Over Prior Year: +24.32%, Total Number of Open Franchised Outlets Whose Data Were Used: 217, Number and Percentage of Outlets That Attained or Exceeded Average: 112/51.61%, Franchised Same-Store Sales Growth Over Prior Year: +26.49%, Total Number of Open Franchised Outlets Whose Data Were Used: 163, Number and Percentage of Outlets That Attained or Exceeded Average: 79/48.47%, Franchised Same-Store Sales Growth Over Prior Year: +11.62%, Total Number of Open Franchised Outlets Whose Data Were Used: 154, Number and Percentage of Outlets That Attained or Exceeded Average: 78/50.65%, Franchised Same-Store Sales Growth Over Prior Year: +7.63%, Total Number of Open Franchised Outlets Whose Data Were Used: 135, Number and Percentage of Outlets That Attained or Exceeded Average: 56/41.48%, Franchised Same-Store Sales Growth Over Prior Year: +3.59%, Total Number of Open Franchised Outlets Whose Data Were Used: 124, Number and Percentage of Outlets That Attained or Exceeded Average: 64/51.61%, Franchised Same-Store Sales Growth Over Prior Year: +8.40%, Total Number of Open Franchised Outlets Whose Data Were Used: 94, Number and Percentage of Outlets That Attained or Exceeded Average: 50/53.19%, Franchised Same-Store Sales Growth Over Prior Year: +16.0%, Total Number of Open Franchised Outlets Whose Data Were Used: 79, Number and Percentage of Outlets That Attained or Exceeded Average: 42/53.16%, Franchised Same-Store Sales Growth Over Prior Year: +13.39%, Total Number of Open Franchised Outlets Whose Data Were Used: 59, Number and Percentage of Outlets That Attained or Exceeded Average: 38/64.41%. Wisconsin, United States. The investment amount covers all startup costs you need to open a restaurant. The Eckles were inspired to start their own little drive-thru coffee shop after coming across a similar concept in California. There has never been a better time than now to join the Scooter's Coffee family! This statement includes average Gross Sales of Participating Stores (both Participating Kiosk Stores and Participating Coffeehouse Stores) for each of calendar years 2014 to 2021. 9. Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses. The Gross Sales, Discounts, Cost of Goods Sold, Labor Costs, and Rental Expenses are based upon the reported results for the Participating Stores during the Measurement Period. 66 on Entrepreneurs 2022 Franchise 500 list. 17. By requesting information, you agree that Scooter's Coffee may call and/or text you about your inquiry, which may involve the use of automated means. 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