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Verified — real FDD extraction

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TRAVELIN' TOM'S COFFEE

Food & Dining · independent · est. —

Travelin' Tom's Coffee is a mobile coffee truck franchise serving espresso drinks and coffee at events, businesses, and neighborhood stops. A franchisee operates a branded coffee truck, booking events and routes rather than running a fixed storefront.

TRAVELIN' TOM'S COFFEE net unit count grew +135.2% from 20232025 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Proven & steady

Distress

0
STABLE

A real track record with an unremarkable region of the ledger: neither the growth nor the exits stand out, for better or worse. The standout in the record: the system is growing.

Exit rate · latest year

5.0%

vs 8.2% across 146 food & dining systems

Cost to open

$185K–$265K

Item 7 total investment range

SBA loan defaults

No loan record

no SBA 7(a)/504 loans found for this brand

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Strong
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Fair
Transfer / churn15%

transfers vs. base · Table 3

Strong
Promise-keeping10%

actual vs. projected openings · Table 5

Strong
Transparency15%

Item 19 disclosure + completeness

Weak

Systemwide units

2023–2025

+135.2%
142202326120243342025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 13 of 258 franchised outlets left the system — a 5.0% annualized exit rate, vs 8.2% across 146 food & dining systems. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202320242025
Outlets at start53142261
Opened9012486
Transfers1715
Terminations000
Non-renewals000
Reacquired by franchisor000
Ceased — other reasons1513
Outlets at end142261334
Net change+89+119+73

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $15K franchise fee (Item 5) and a total investment of $185K–$265K (Item 7). The franchisor publishes no earnings claim (Item 19) — ask current and former franchisees for real numbers.

To open (Item 7)

$185K–$265K

all-in investment range

Franchise fee (Item 5)

$15K

upfront, one-time

Royalty (Item 6)

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.

Royalty you'd pay / yr

$0

0% of sales, before profit

Over a 10-yr term

$0

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 TRAVELIN' TOM'S COFFEE with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for TRAVELIN' TOM'S COFFEE. That's a good sign — but it reflects news coverage, not a guarantee.

7 questions to ask a TRAVELIN' TOM'S COFFEE franchisee

Built from this brand's own disclosures · take it to your validation calls

The franchisor will give you a list of owners to call. Most buyers ask whether they like it. These are the questions built from what TRAVELIN' TOM'S COFFEE has actually disclosed — each one carries the number it came from, so you can tell whether the answer squares with the record.

  1. 01

    TRAVELIN' TOM'S COFFEE’s own Item 20 shows 13 of 258 franchised outlets left the system in fiscal 2025 — about 5.0%. Do you know any of those owners, and do you know why they left?

    A franchisor will call these “transitions.” An owner three doors down usually knows whether they sold at a profit or handed the keys back.

    FDD Item 20 · FY2025

  2. 02

    15 units transferred to new owners in fiscal 2025. When you look at those, were they people cashing out a good business — or getting out of a bad one?

    Transfers count as neutral in every ranking. They are the single easiest place to hide distress.

    FDD Item 20 · FY2025

  3. 03

    TRAVELIN' TOM'S COFFEE’s FDD makes no financial performance representation at all — legally, they've told buyers nothing about earnings. What did your first 24 months actually look like, month by month?

    When a franchisor won't publish numbers, existing owners are the only source. Silence in Item 19 is a choice, not a requirement.

    FDD Item 19 · 2026

  4. 04

    How many months did it take to cover your own costs, and how much cash did you burn getting there?

    Ramp-to-breakeven working capital is the most underestimated line in any franchise purchase, and the most common reason otherwise-good units fail.

    Not disclosed in any FDD — ask an owner

  5. 05

    What does the franchisor charge for that you didn't expect — required tech fees, mandatory remodels, approved-supplier pricing?

    Required spending appears across Items 6, 8 and 11 rather than in one place, so buyers routinely miss the total.

    FDD Items 6, 8, 11

  6. 06

    If your agreement came up for renewal tomorrow at current terms, would you sign again?

    The single most predictive question you can ask. A hesitation is the answer.

    Ask every owner you speak to

  7. 07

    Who else should I call — including someone who left?

    The franchisor's list is curated by definition. Former franchisees are where the unflattering truth lives, and current owners usually know how to reach them.

    Ask every owner you speak to

Want this as a checklist you can take to the calls?

I'll email you the printable version, and tell you if TRAVELIN' TOM'S COFFEE’s numbers move — a new filing, a rising exit rate, a distress signal. Unsubscribe in one click.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. I'm paid by you — and the job is pressure-testing TRAVELIN' TOM'S COFFEE's numbers, including talking you out of a bad deal.

Don Drummond, CPA — Virginia #43775 · what I charge

Book a free 30-minute call →
Own or owned a TRAVELIN' TOM'S COFFEE?no appointment · read by a person

This page is what buyers see before they call you for validation. If the record above is wrong — or right in a way the numbers can't show — say so. Corrections are checked against the filings; nothing you write is published with your name unless you agree to it.

TRAVELIN' TOM'S COFFEE franchise questions, answered from the filings

What percentage of TRAVELIN' TOM'S COFFEE franchises closed last year?

In TRAVELIN' TOM'S COFFEE's latest FDD Item 20 (fiscal 2025), 13 of 258 franchised outlets left the system — an annualized exit rate of 5.0% — compared with 8.2% across 146 food & dining systems tracked here. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a TRAVELIN' TOM'S COFFEE franchise cost?

Per TRAVELIN' TOM'S COFFEE's 2026 FDD, buying in requires an initial franchise fee of $15K (Item 5) and a total initial investment of $185K–$265K (Item 7).

Does TRAVELIN' TOM'S COFFEE disclose earnings (Item 19)?

No — TRAVELIN' TOM'S COFFEE's 2026 FDD makes no financial performance representation in Item 19. That is legal and common, but it means the franchisor publishes no earnings claim; ask current franchisees for real numbers.