Peet's Coffee^®

Food & Beverage • Year: 2025

All product and company names mentioned are trademarks™ or registered® trademarks of their respective holders. Use of these names does not imply any affiliation with, sponsorship by, or endorsement by them.

What Is Peet's Coffee?

Peet's Coffee is a coffee shop franchise offering specialty coffee and espresso drinks, tea and other beverages, packaged coffee beans, food items, and related products and merchandise. The franchise offering under this FDD is for a traditional Peet's Store with a drive-thru. Significant revenue streams identified include sales of specialty beverages, coffee beans, food items, and retail merchandise.

Peet's Coffee Franchise: Pros and Cons

With 199 company-owned units, the franchisor runs a large corporate fleet so systems, menu changes and operations are likely field-tested before being offered to franchisees; the biggest risk is steep startup requirements — Item 7 minimum $1,035,000, assets $380,000–$530,000 and reserves $110,000–$150,000 — plus 0 franchised units.

Pros

199 company-owned units (well above typical for Food & Beverage) — the franchisor runs a large corporate fleet, so systems, menu changes and operational practices are likely field-tested before being imposed on franchisees.

0 disclosed lawsuits, 0 government penalties, and 0 franchisor-initiated enforcement actions (all well below typical for Food & Beverage) — a clean legal and regulatory record reduces legal risk and simplifies compliance due diligence.

0 signed-but-not-open units and 0 outlet terminations (both well below typical for Food & Beverage) — there are no troubled openings or recent formal exits in the pipeline, which suggests current operations haven't produced high visible churn.

Cons

Item 7 total minimum of $1,035,000, Item 7 assets range $380,000–$530,000, and reserve requirements $110,000–$150,000 (all well above typical for Food & Beverage) — cumulatively this points to substantially higher upfront capital needs and larger cash-on-hand requirements than most F&B franchises.

0 franchised units (well below typical for Food & Beverage) — the system is essentially early-stage for franchisees, so you won't have existing franchisee peers to interview and many operational assumptions remain unproven at scale.

Lawsuits & Legal Risk

100

Excellent

The franchise reported no material legal proceedings.

Territory Protection

48/100

NORMAL

Grants a protected operating area where the franchisor will not place other physical units. Protection is contingent on meeting performance quotas, and the franchisor retains the right to sell via e-commerce and alternative distribution channels within the market and to develop additional units in the surrounding market, affecting market density and site-specific rights.

Training & Support

Good

Peet's Coffee provides a comprehensive 138-hour training curriculum; the initial fee does not include any trainees, and the program is structured to prepare franchise personnel for launch and ongoing operations. On-site launch assistance is provided for operational readiness, with travel and lodging expenses and any additional on-site support costs borne by the franchisee.

How Much Does It Cost to Open a Peet's Coffee Franchise?

Opening a Peet's Coffee franchise requires a total initial investment of $1,035,000 to $1,697,000, according to the 2025 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$1,035,000

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$1,697,000

Minimum Investment Breakdown

Franchise Fee$35,000

Real Estate$425,000

Equipment & Assets$380,000

Reserves$110,000

Training$5,000

Other$80,000

Maximum Investment Breakdown

Franchise Fee$35,000

Real Estate$840,000

Equipment & Assets$530,000

Reserves$150,000

Training$12,000

Other$130,000

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do Peet's Coffee Franchise Owners Make?

Peet's Coffee franchise locations reported average gross sales of $1,414,992 and median gross sales of $1,367,052 in 2025, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$1,414,992

Median Gross Sales:

$1,367,052

High Gross Sales:

$2,755,214

Low Gross Sales:

$436,384

Sample Size:

199

Percent Attaining Average:

45.2%

Franchise vs Corporate Performance: The reported figures are for 199 affiliate-owned stores (not franchised units), so these averages likely reflect company-operated performance and may not be representative of future franchised outlets.

Performance Variability Analysis: Gross sales vary widely across the system (low 436,384 to high 2,755,214) with first-third averages (~1,850,010) roughly 80% higher than third-third averages (~1,024,672), indicating substantial location-level variability.

Data Scope and Limitations: Data cover calendar year 2024 for 199 affiliate-owned traditional Peet's Stores and exclude licensed/non-traditional locations and any franchised-store performance, limiting direct applicability to prospective franchisees.

Frequently Asked Questions

How much does it cost to open a Peet's Coffee franchise?

The total initial investment for a Peet's Coffee franchise ranges from $1,035,000 to $1,697,000, according to the 2025 Franchise Disclosure Document. This includes the franchise fee, real estate, equipment, training, and working capital.

What is the Peet's Coffee initial franchise fee?

The initial franchise fee for Peet's Coffee is $35,000, as stated in the 2025 FDD. This fee is paid upon signing the Franchise Agreement.

How much do Peet's Coffee franchise owners make?

Peet's Coffee franchise locations reported average gross sales of $1,414,992 and median gross sales of $1,367,052 in 2025, based on Item 19 of the Franchise Disclosure Document. Actual earnings vary by location, market, and operator experience.

Does Peet's Coffee have any franchise lawsuits or legal issues?

Peet's Coffee received a legal risk score of 100 out of 100 in the 2025 FDD analysis. The franchise reported no material legal proceedings.

Does Peet's Coffee offer exclusive franchise territories?

Peet's Coffee received a territory protection score of 48 out of 100. Grants a protected operating area where the franchisor will not place other physical units.

What training does Peet's Coffee provide to new franchisees?

Peet's Coffee received a training and support score of 99 out of 100. Peet's Coffee provides a comprehensive 138-hour training curriculum; the initial fee does not include any trainees, and the program is structured to prepare franchise personnel for launch and ongoing operations.

How many Peet's Coffee franchise locations are there?

Peet's Coffee had 199 total locations as of the 2025 Franchise Disclosure Document.

What type of business is Peet's Coffee?

Peet's Coffee is a coffee shop franchise offering specialty coffee and espresso drinks, tea and other beverages, packaged coffee beans, food items, and related products and merchandise.

Interested in Peet's Coffee?

Get more information and connect with the franchise directly.