FDD ITEM 20 · FISCAL 2023–2025
The Coffee Bean & Tea Leaf Item 20: outlets, closures & growth
In its latest FDD Item 20 (fiscal 2025), The Coffee Bean & Tea Leaf reported 69 franchised outlets at year end. 11 of 78 franchised outlets open at the start of the year left the system — an annualized exit rate of 14.1%— while 2 new outlets opened. Systemwide units moved -8.2% over 2023–2025.
| Status (FTC) | 2023 | 2024 | 2025 |
|---|---|---|---|
| Outlets at start | 198 | 195 | 193 |
| Opened | 1 | 8 | 2 |
| Transfers | 0 | 0 | 2 |
| Terminations | 0 | 0 | 1 |
| Non-renewals | 6 | 3 | 7 |
| Reacquired by franchisor | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 3 | 3 |
| Outlets at end | 195 | 193 | 179 |
| Net change | -3 | -2 | -14 |
1 terminations + 7 non-renewals + 3 ceased (other) = 11 exits ÷ 78 at start = 14.1%
These are the three FTC Item 20 statuses in which a franchisee involuntarily or terminally leaves the system. Transfers (2) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate” — this annualized exit rate is the disclosed, measurable floor.
| State | Franchised | Company-owned |
|---|---|---|
| CA | 30 | 104 |
| NV | 16 | 0 |
| HI | 15 | 0 |
| LA | 3 | 0 |
| GA | 2 | 0 |
| CO | 1 | 0 |
| TX | 1 | 0 |
| UT | 1 | 0 |
| AZ | 0 | 6 |
| DC | 0 | 0 |
| MD | 0 | 0 |
| OR | 0 | 0 |
The The Coffee Bean & Tea Leaf validation checklist
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