Bottom line
- Total investment $259K – $608K including a $10K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 75/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Cotti Coffee unit return on the cash you put in?
Unlevered ROIC · per unit
13%
Below typical band (30–60%)
Overview
About
Franchisees operate specialty coffee retail locations, likely featuring espresso-based beverages, specialty drinks, and light food service. Day-to-day operations include customer service, barista work, inventory management, and facility maintenance within a branded coffee shop environment.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 13 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Cotti Coffee presents extreme risk: zero operating units, going concern status, undisclosed financials, and unprotected territory create unvalidatable returns and potential system failure exposure.
Score breakdown · what drove the 75 / 100 rating
- 01MINORZero operating franchise units with unknown growth trajectory indicates either brand-new concept or failed system contraction
- 02HIGHGoing Concern status = FALSE suggests parent company financial distress or viability questions
- 03MINORNo average revenue or net income disclosure prevents ROI validation and profitability assessment
- 04MINORUnprotected territory creates direct competition risk from other franchisees and company-owned locations
- 05MINORTiered royalty structure (0-25% of margin above Base Amount) is non-standard and lacks transparency on 'Base Amount' threshold
- 06MINORHigh investment range ($259K-$608K) combined with zero unit validation creates significant downside risk
- 07MINOR5-year term is shorter than industry standard (typically 10 years), suggesting franchisor confidence issues
- 08HIGHNo disclosed litigation history unusual for established franchisor; may indicate inadequate disclosure or new entity
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
15 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Cotti Coffee · FDD (2026) PDF