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How Much Does A Biggby Coffee Franchise REALLY cost?

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Biggby Coffee is a well-known coffee chain in Michigan. Even if they have only made strides in some regions, they’ve been growing in the past 25 years. Nevertheless, the coffee chain is worth exploring as a franchising opportunity. Because it won’t break the bank, unlike other big coffee franchises. So, in this article, learn more about the coffee chain and the Biggby Coffee franchise cost.

Biggby Coffee Franchise and the Market

Before starting their franchise Bob Fish and Mike McFall talked about their shared interests in travel, shoes, and coffee. But it was also then they realized that coffee would instill a sense of community. From there, they decided to produce and serve coffee different from the ones available in the ‘90s.

Before McFall came into the picture, Fish and Mary Roszel opened their first-ever store in 1995. It was in 1996, when McFall worked as a barista. As more customers dropped by, visited, and drank their signature coffees, Fish and McFall decided to further grow their business. It wasn’t until in 1999, they opened the opportunity for franchising. In fact, CNBC even recognized them as the “fastest-growing coffee chain” in 2012.

Presently, Biggby Coffee serves coffee, tea, baked goods, sandwiches, beverages, and other food.

Despite its expansion, Biggby faces stiff competition from Starbucks, The Coffee Bean and Tea Leaf, and Dunkin’. Even so, the founders expressed interest in opening 50 more branches by the end of 2020. So far, they have over 240 stores in ten states.

However, if you’re from any of the following states listed below, you need to secure registration before launching the franchise.

  • California
  • Hawaii
  • Maryland
  • Minnesota
  • Nebraska
  • North & South Dakota
  • Rhode Island
  • Washington

Learn more about franchising here at Franchise How!

Did You Know?

  1. In 1995, Biggby Coffee was known as Beaner Coffee. Changes had to be made due to a derogatory association with their original name. However, Fish wanted to keep the Big B logo. Like every other rebrand, it wasn’t accepted, but eventually, the name stuck.
  2. Veterans interested in franchising the coffee house will get a 50% discount.
  3. Michigan celebrates Biggby Coffee Day on March 15.
  4. Franchisees are free to submit any idea to HQ through their Feedback form.

How Much Does a Biggby Coffee Franchise Cost?

Are you ready to serve up Biggby’s Caramel Marvel and Teddy Bear? If so, Biggby Coffee estimates that you’ll pay between $189,550 to $378,660 for the initial investment.

According to the FDD, all franchises will pay a mandatory 3 percent advertising fee to promote Biggby Coffee further. You also have to pay royalties as well, which is 6 percent of the net revenue.

Check out the table below as to how much you’ll have to shell out at first.

Your Investments

Name of FeeLowHigh
Initial Franchise Fee$20,000$20,000
Real Property Rental$1,200$21,000
Leasehold Improvements$80,000$170,000
Equipment, Furniture and Decor$49,500$62,000
Blueprints, Plans and Permits$5,500$11,000
Interior and Exterior Signage$4,000$15,000
Initial Inventory$9,000$14,000
Insurance – General Liability, Property and Workers Compensation$3,500$4,500
Utility Expense$800$3,600
License Permits and Other$1,000$2,500
Initial Advertising and Grand Opening Promotions$7,500$7,500
Miscellaneous Travel and Living Expenses for Training$500$5,000
Organizational Expenses$2,050$2,500
Additional Funds – 3 Months$5,000$40,000
ESTIMATED TOTAL$189,550$378,600

Other Fees

Type of FeeAmount
Royalty6% of gross sales. But it’s 5% of gross sales for certain existing operators in Michigan.
Advertising Fund ContributionThe greater of $100 per week. Or an amount specified by the franchisor. But not exceeding 3% of gross sales.
Minimum Local AdvertisingUp to 3% of gross sales.
Product PurchasesVaries.
Maintenance and RepairsActual cost to franchisor.
RefurbishingActual cost.
Technology FeesAmount determined by franchisor. But not exceeding $500 per month. Current technology fee is at $110.
Optional Technology Fees $10 to $70 per month. 
Annual Conference FeesAmount determined by the franchisor. But not exceeding $1,000 per person. Current conference fee is at $150.
Operational Standards Fees Up to $500 per occurrence. 
InsuranceActual cost to franchisor.
Cost of Cyber Liability Insurance$6 to $70 per month.
Franchisee Association DuesAmount determined by association.
E-card ProgramNo fee is charged for participation. But, overpayments or underpayments are reconciled quarterly.
Additional TrainingThe franchisor does not charge for additional training if franchisees attend its regular training programs. The franchisor also offers additional on-demand training. Moreover, the current charge is not more than $200 per day per trainer.
ServSafe Training or TestingIt’s $75 for the class with an exam included. But it’s only $50 for the exam,
Late Charge and Interest$25 per month late charge. NSF fees equal to charge the franchisor incurs. But not less than $30, and 1.5% per month interest.
Transfer FeeIf the transferee is an existing Biggby Coffee franchisee in good standing, the fee is $5,000. However, for all other transfers the fee is $20,000. This also includes training for the transferee.
Renewal Fee10% of the initial franchise fee in effect at the time of renewal.
Audit and Inspection ExpensesCost of audit or inspection.
Damages for Failure to Open Store$27,000
IndemnificationVaries.
Costs and Attorney’s FeesVaries.
POS System License Fee$40 per month.
POS and Computer Systems Maintenance and Support Services $99 to $125 per month. 

How Do I Start a Biggby Franchise?

Before you pay the Biggby Coffee franchise cost, you need to fill up a form and talk with one of their team members. Other than that, they do ask potential franchisees the following questions:

  • Are you someone who loves to B happy?
  • Can you B passionate?
  • Do you want to B a community leader?

If it’s yes all-around, then click on Request Info. After that, go ahead and fill all your details there to get started.

After submitting your details, a team member will contact you and further discuss becoming part of the BIGGBY Nation. You may also attend a seminar to learn more about Biggby. So, if you’re interested, you can submit the Franchise Agreement.

Request franchise information and more by filling up the form here.

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