7 BREW Franchise Information, Costs, and Fees
If you’re considering owning a 7 Brew franchise, this comprehensive guide provides all the key information you need—from investment details to training programs and revenue potential. Here’s an in-depth look at what it takes to join this fast-growing coffee brand.
7 Brew Franchise Overview
The 7 Brew Concept
- Category: Specialty drive-thru coffee franchise offering customizable beverages.
- Unique Selling Points: Fast service, customer-focused interaction, and a modern, minimalist aesthetic.
- Menu Highlights: Breves, teas, smoothies, energy drinks, and seasonal specialties.
- Sustainability Commitment: Dedicated to environmentally friendly practices that resonate with eco-conscious consumers.
Benefits of Owning a 7 Brew Franchise
- Established and growing brand recognition.
- Comprehensive training and ongoing support.
- Exclusive regional territory rights to minimize competition.
- Access to a proven business model with streamlined operations and marketing resources.
Initial Franchise Investment
Cost Breakdown
- Franchise Fee: $35,000 (non-refundable).
- Total Investment Range: $275,000 – $525,000 (depending on site and location).
Key Expenses
| Expense Category | Estimated Cost (USD) |
| Leasehold Improvements | $100,000 – $250,000 |
| Equipment and Fixtures | $50,000 – $100,000 |
| Inventory and Supplies | $10,000 – $20,000 |
| Working Capital (for initial operations) | $25,000 – $50,000 |
| Signage and Branding | $20,000 – $40,000 |
These estimates can vary based on the location, size, and specific market conditions.
Ongoing Fees and Royalties
Required Ongoing Fees
| Fee Type | Percentage of Gross Sales |
| Royalty Fee | 6% |
| Advertising Fee | 2% |
| Technology Fee | 0.5% |
Additional Costs
- Local or Regional Marketing Campaign Contributions: Subject to franchisor requirements.
- Operating Costs: Salaries, utilities, and insurance (average $10,000+ per month).
Training and Support
Initial Training Program
- Location: Franchisor’s headquarters or a designated training site.
- Duration: 4-6 weeks.
Training Topics:
- Day-to-day management and operations.
- Customer service standards and best practices.
- Coffee preparation techniques and quality control.
- Marketing, financial planning, and accounting guidance.
Ongoing Support
- Scheduled field visits by franchise support staff.
- Access to online training modules and operational manuals.
- Seasonal promotional materials and marketing resources.
Territory and Exclusivity
Exclusive Territorial Rights
- Franchisees receive a protected geographic territory to operate their franchise.
- Franchisor Rights: May open company-owned locations within the same area if market conditions allow.
Territory Size and Factors
- Based on population density, market demand, and regional growth potential.
Renewal and Transfer Rights
Franchise Agreement Terms
- Initial Term: 10 years.
- Renewal Options: Franchisees may renew for additional terms, contingent on meeting performance and compliance requirements.
Transfer of Ownership
- Franchisees can transfer ownership with franchisor approval.
- Transfer Fee: Specified in the franchise agreement.
Location and Build-Out Requirements
Site Selection Criteria
- Preferred Locations: High-traffic areas such as intersections and near commercial hubs.
- Lot Size Requirements: 0.5 – 1.0 acre for drive-thru-only setups.
Construction and Build-Out Timeline
- Lease Terms: 10-15 years for typical commercial properties.
- Build-Out Duration: 6-12 months (from design approval to completion).
Revenue and Profit Potential
Average Performance Metrics
| Metric | Range |
| Estimated Annual Revenue | $900,000 – $1,500,000 |
| Profit Margin (Post Expenses) | 10% – 20% |
Key Factors Influencing Revenue
- Customer satisfaction and repeat visits.
- Strategic local and national marketing initiatives.
- Introduction of limited-time seasonal promotions.
Southern Brew Corp: A Franchise Success Story
Overview
Southern Brew Corp is a key franchisee operating 7 Brew locations across Alabama, Tennessee, and Georgia.
Expansion Goals
- Objective: Establish 79 7 Brew stands within eight years.
- Key Strength: Leadership team composed of experienced Quick Service Restaurant (QSR) operators.
Franchisee Requirements
Ideal Franchisee Profile
- Strong leadership and management background.
- Financial capacity to cover startup and operational expenses.
- Commitment to upholding 7 Brew’s brand values and exceptional customer experience.
Financial Requirements
| Requirement | Minimum Amount (USD) |
| Net Worth | $1,000,000 |
| Liquid Assets | $250,000 |
Frequently Asked Questions
Q: How much does it cost to open a 7 Brew franchise?
A: The total initial investment ranges from $275,000 to $525,000, including the franchise fee and build-out costs.
Q: What is the royalty fee for franchisees?
A: Franchisees pay a 6% royalty fee on gross sales.
Q: How long does it take to open a 7 Brew location?
A: The process typically takes 6-12 months, depending on the build-out and permitting timeline.
Q: Does 7 Brew provide exclusive territory rights?
A: Yes, franchisees are granted a defined exclusive territory based on market size and potential.
Q: What kind of training and support does 7 Brew offer?
A: Franchisees participate in a comprehensive 4-6 week training program and receive ongoing operational support.
Q: Can I transfer or sell my 7 Brew franchise?
A: Yes, ownership can be transferred with franchisor approval, but a transfer fee may apply.