How Much Does a Peet's Coffee Franchise Cost?
Data from the 2026 Franchise Disclosure Document
Investment Summary
Total Investment
$1.0M – $1.7M
Franchise Fee
$35K
Royalty
6.0%
Ad Fund
Not currently assessed (subject to change)
Cost Breakdown
Initial Franchise Fee
The initial franchise fee for Peet's Coffee is $35K. This one-time payment covers the right to operate under the brand, access to proprietary systems, and initial training programs.
Total Investment Range
Opening a Peet's Coffee franchise requires a total investment of $1.0M – $1.7M. This range typically includes real estate or leasehold improvements, equipment and fixtures, initial inventory, signage, insurance, and working capital to sustain operations during the ramp-up period.
Working capital alone ranges from $110K to $150K.
Ongoing Costs
Beyond the initial investment, Peet's Coffee franchisees pay ongoing fees. The royalty fee is 6.0% of gross sales (Percentage of Gross Sales). The ad fund contribution is: Not currently assessed (subject to change). There is also a technology fee of $500.
Net Worth & Liquid Capital Requirements
Peet's Coffee requires working capital of $110K – $150K to cover initial operating expenses. This is the liquid cash you should have available beyond the franchise fee and buildout costs.
What Can You Earn?
According to Peet's Coffee's Item 19 financial performance representation:
Median gross sales: $1.4M
This figure comes from Item 19 of the FDD. Gross sales are not the same as take-home profit. After deducting royalties, ad fund fees, rent, labor, and COGS, net income is typically a fraction of gross revenue.
Next Steps
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