What It Really Costs to Open a Coffee Café Franchise

Anita du Toit • June 19, 2025

Are you dreaming of opening your own coffee café franchise? It's a rewarding and dynamic venture, but success starts with understanding the actual cost of getting started and staying open.


Whether you're inspired by the aroma of fresh espresso or the promise of a proven business model, knowing the financial landscape is essential. Let's take a grounded look at what it takes to launch, run, and grow a coffee café franchise so you can plan with confidence.

Initial Investment: What You'll Need to Get Started

Starting any franchise involves upfront costs, and coffee cafés are no exception. While specific figures vary by brand, location, and size, the key components of your startup budget generally include:


  • Franchise Joining Fee

This one-time fee gives you the right to trade under the franchise brand, access their systems and training, and receive ongoing support. Think of it as buying into a ready-made business model with reduced risk.

  • Shopfitting and Equipment

This investment shapes your café's look, layout, and functionality. It covers everything from interior finishes and furniture to espresso machines, kitchen gear, signage, and POS systems. It's often the most significant slice of your upfront spend and the most visible to customers.

  • Lease and Rental Setup

Most locations require a deposit and advance rent. Depending on the lease terms, this could mean paying a few months' rent upfront.

  • Licensing and Compliance

Registering your business, obtaining trade licenses, and ensuring health and safety compliance all come at a cost. These are non-negotiables if you want to open legally and responsibly.

  • Opening Stock and Supplies

From coffee beans and pastries to takeaway cups, cleaning materials, uniforms, and packaging, your café needs to be fully stocked and ready to serve from day one.


Running Costs: What You'll Pay Each Month

Once your café is open, the bills don't stop. Your operating budget should include:


  • Royalty or Franchise Fees

Typically a percentage of your monthly turnover, these fees fund your continued use of the brand and access to franchisor support.

  • Staff Wages

Salaries for baristas, kitchen staff, and support personnel are typically one of the most significant ongoing expenses for coffee shop businesses.

  • Rent and Utilities

Electricity, water, Wi-Fi, and other essential services must be budgeted carefully.

  • Stock Replenishment

Fresh ingredients and consumables must be replenished regularly to maintain quality and consistency.

  • Local Marketing

Promos, signage, and community engagement help drive foot traffic and brand visibility in your area.

  • Maintenance

Keeping your equipment and facilities in top shape is key to smooth operations.


A solid franchisor will help you understand and manage these costs effectively, ensuring your business remains viable and sustainable.


Returns and Profitability: What Can You Expect?

Your return on investment (ROI) depends on factors like foot traffic, operational efficiency, and your level of involvement. However, franchising can offer key advantages:


  • Faster Launch Time thanks to brand recognition and systemised support
  • Lower risk through tested models and operational guidance
  • Group Buying Power that reduces your cost of goods and improves profit margins


With strong execution, many coffee franchises can turn a profit within a few months—though timelines vary. Your commitment and consistency will be key.


Unexpected Expenses: Don't Get Caught Off Guard

Some costs may not be evident at first. These can include:

  • Delays in construction or local authority approvals
  • Travel or accommodation costs for training
  • Insurance and legal compliance fees
  • IT systems upgrades or digital tool subscriptions

The right franchisor will be upfront about these possibilities and help you budget accordingly so there are no nasty surprises.


How The Daily Coffee Group Supports Your Investment

At The Daily Coffee Group, we believe that transparency is key to long-term success. That's why we provide prospective franchisees with a clear and detailed breakdown of all investment elements—no fine print, no hidden charges.


Here's what's included when you partner with us:

  • A professionally designed and fitted café, ready for trade
  • Industry-leading barista equipment and operational systems
  • Comprehensive training and a fully supported store launch
  • Access to national marketing and continuous support from our head office team


We work alongside you to build a business model that aligns with your goals and financial capacity, enabling you to invest wisely, operate confidently, and grow sustainably.


Final Thought:

Opening a coffee café franchise is a big step. Still, with the proper financial insight and franchisor support, it's one you can take with clarity and confidence. Knowing your numbers is the first step toward pouring the perfect cup: profitably. To learn more about our franchise opportunity, visit our page on SA Franchise Warehouse.