Frequently Asked Questions
Q. What does a franchise cost?
A. You will need approximately $277,000 to $574,000. This start-up cost breaks down into the following general ranges:
| Investment | Low | High |
|---|---|---|
| Initial Franchise Fee | $25,000 | $25,000 |
| Travel and Training Expenses | $2,000 | $4,000 |
| Opening Inventory | $10,000 | $18,000 |
| Equipment | $68,000 | $94,000 |
| Millwork | $55,000 | $95,000 |
| Leasehold Improvements | $76,000 | $176,000 |
| Deposits, Working Capital, etc. | $37,500 | $131,000 |
| Advertising Fee (first 3 months) | $3,500 | $30,000 |
Q. Do you offer a finance program?
A. We can assist you with locating outside financing for your equipment package and leasehold improvements or construction costs at prevailing rates but Greenberry’s does not provide in-house financing.
Q. What are your royalty fees?
A. Greenberry’s collects 6% of net sales exclusive of sales tax in monthly royalty fees. This money aids in our providing each owner with continuing support and service. Greenberry’s also collects a 1% advertising fee from each franchisee for continued development of promotional materials.
Q. What training do you provide?
A. The initial franchise fee covers the cost of training two individuals from the franchising group. Attendance and successful completion of our three-week training program located at our company headquarters in Charlottesville, Virginia is mandatory. Through our training course, you will learn the business from the foundation up and leave with a firm understanding of every aspect of the business. While the franchise fee covers the cost of this training, you are responsible for the costs of your transportation, lodging and meals.
Q. Does Greenberry’s have a net worth or liquid asset requirement?
A. Yes, Greenberry’s requires a minimum net worth of $35,000 and a liquid asset requirement of $125,000.
Q. Do I receive assistance in opening my franchise business?
A. Yes. In addition to your initial training period, an Operations Specialist will work with you prior to opening and conduct routine meetings to follow your progress. Opening timelines and checklists will be provided to help you navigate through the opening process. Two franchise representatives will be on-site during your first week of operation and during all opening events to provide guidance and assistance. Prior to opening, franchise team members will be on-site to conduct product-preparation and product-knowledge training with your employees. And, of course, a franchising representative will always be available to take calls and answer questions as often as needed.
Q. What form of continuing operational guidance will I receive?
A. You will receive the Greenberry’s Coffee & Tea Co. Operations Manual that will cover many important facets of your business. As manuals and materials are updated, revisions will be made available to you. Periodically, you will receive company bulletins and newsletters containing useful management information and important happenings. A continuous advisory service will be available on all promotional, operational and business problems, as well as field and technical assistance.
Q. Can I carry additional products in my store, other than the items I’ve seen at other Greenberry’s?
A. Yes, however all new items and vendors must first go through an approval process with the home office to assess the viability of the product/vendor. To maintain consistency and quality, Greenberry’s has selected several core items that will be required in all stores and cannot be altered without the expressed written permission of the home office.
Q. Can I sell my Greenberry’s Coffee & Tea Co. franchise?
A. Yes, like any other business, you can sell your operation to any buyer approved by the home office. There is a transfer fee for administrative, legal and training expenses. If requested, we will offer your operation for sale, for a sales fee.
Q. How soon can I be operation once I have been accepted as a franchisee?
A. Since you need a suitable location prior to coming to training, we would estimate that you could be in operation within 4-12 months of signing the franchise agreement. This is directly contingent, however, upon securing a lease and we cannot make specific guarantees on this point.
Q. How much can I expect to earn?
A. Your profit and loss will depend on a number of factors such as your business location, the amount of time you spend on the job, how good a business person you are, time spent advertising and market conditions. Naturally, as in any business venture, there is no guarantee as to success nd profitability. We help minimize your risk by giving you the benefit of a well-organized system and concept.
Q. What experience do I need to have to run a coffee business?
A. Little-to-no experience in the coffee or retail industry is required. You will be formally trained by Greenberry’s before you open your first location. However, having quick capacity to learn new skills, being an innovative thinker and being highly organized and motivated are all traits we hope for in new owners.
Q. How can I get a copy of your franchise brochure?
A. Fill out the “Getting to Know You” questionnaire and submit it through our website. From there, a Greenberry’s representative will call you to speak with you further. We will send out a brochure upon talking with you.