ITEMS 5–7 · FDD 2026
How much is a The Coffee Bean & Tea Leaf franchise?
Per The Coffee Bean & Tea Leaf's 2026 FDD, the initial franchise fee is $25K (Item 5) and the total initial investment runs $884K–$1.5M (Item 7); once open, you pay an ongoing royalty of 5.5% of gross sales (Item 6).
$25K
one-time, to buy in
5.5%
of gross sales, ongoing
$884K–$1.5M
franchisor's own estimate
| Cost line | The Coffee Bean & Tea Leaf | Sector median |
|---|---|---|
| Initial franchise fee ITEM 5 | $25K | $35K |
| Ongoing royalty ITEM 6 | 5.5% | 6.0% |
| Total initial investment ITEM 7 | $884K–$1.5M | $330K–$814K |
MEDIANS: LATEST REAL FDD FILINGS OF 137 FOOD & DINING SYSTEMS · FULL FOOD & DINING BENCHMARK →
The buy-in is the smaller number. The larger one is the drag: 5.5% of every sale leaves before rent, labor, or your salary — so breakeven depends on volume you cannot know from the FDD; use the Item 19 figures as a starting point, not a promise.
To open (Item 7)
$884K–$1.5M
all-in investment range
Franchise fee (Item 5)
$25K
upfront, one-time
Royalty (Item 6)
5.5%
of sales, ongoing
Your figure — cross-check against this brand's Item 19 and current-owner validation.
Royalty you'd pay / yr
$55K
5.5% of sales, before profit
Over a 10-yr term
$550K
royalties alone, excl. ad fund
This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.
Build a real pro-forma for The Coffee Bean & Tea Leaf with an independent CPAThe Coffee Bean & Tea Leaf cost questions, answered from the filing
How much is a The Coffee Bean & Tea Leaf franchise?
Per The Coffee Bean & Tea Leaf's 2026 FDD, opening a franchise requires an initial franchise fee of $25K (Item 5) and a total initial investment of $884K–$1.5M (Item 7). Item 7 is the franchisor's own estimate — treat the low end as a floor, not a budget.
What royalty does The Coffee Bean & Tea Leaf charge?
The Coffee Bean & Tea Leaf charges an ongoing royalty of 5.5% of gross sales, per Item 6 of its 2026 FDD. The median across 137 food & dining systems tracked here is 6.0%.
Does The Coffee Bean & Tea Leaf tell you what franchisees earn?
Partly — The Coffee Bean & Tea Leaf makes a financial performance representation in Item 19 of its 2026 FDD. Unit revenue is not owner profit: subtract royalties, ad fund, rent, labor, and debt service.
A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing The Coffee Bean & Tea Leaf's numbers, including talking you out of a bad deal.
Talk to an independent CPA before you buy →