1963
1200
$250,000
$12,500
$1,430,177
No
The Coffee Bean & Tea Leaf® (CBTL) is a distinguished American coffeehouse chain renowned for its handcrafted beverages, premium coffee, and exotic teas. Established in 1963 in Los Angeles, California, CBTL has cultivated a loyal customer base by offering an inviting atmosphere and a diverse menu that caters to various tastes. With over 1,200 locations across 24 countries, including a significant presence in the United States, CBTL stands as a testament to quality and innovation in the coffee industry.
The brand's commitment to excellence is evident in its signature Ice Blended® drinks, a creation that has become synonymous with the CBTL experience. By combining traditional coffeehouse charm with modern flair, CBTL continues to attract a diverse clientele, from busy professionals to casual coffee enthusiasts.
Investing in a Coffee Bean & Tea Leaf franchise offers:
Established Brand Recognition: Benefit from a globally recognized brand with a strong presence in the coffee industry.
Proven Business Model: Leverage a successful and replicable business model with a track record of profitability.
Comprehensive Support: Receive extensive training and ongoing support in operations, marketing, and business development.
Diverse Revenue Streams: Tap into multiple revenue channels, including in-store sales, catering, and retail products.
Exclusive Territory Rights: Gain territorial protection to operate without direct competition from other CBTL franchises.
1. Established Year:
Coffee Bean & Tea Leaf (CBTL) was founded in 1963 in Los Angeles, California. It is one of the oldest coffeehouse chains in the United States, predating many modern specialty coffee brands.
2. Founders:
The brand was started by Herbert and Mona Hyman, who envisioned a premium coffeehouse experience combining high-quality coffee and tea. Their mission was to introduce gourmet coffee and tea culture to the U.S. market.
3. Franchise Units:
CBTL has over 1,200 locations worldwide, with a significant presence in the USA. This includes company-owned and franchised stores in major states such as California, New York, Texas, and Florida. The brand continues to expand its footprint domestically through franchise partnerships.
4. Brand Journey & Company History:
Initially a single specialty coffee and tea store in Los Angeles, CBTL expanded steadily throughout the 1970s and 1980s, gaining recognition for its handcrafted beverages and innovative Ice Blended® drinks.
In the 1990s, the company started franchising internationally, reaching Asia, the Middle East, and other regions.
The brand underwent significant modernization in the 2000s with new café formats, menu diversification, and technological integration for ordering and loyalty programs.
5. Ownership:
In 2019, Jollibee Foods Corporation, a global foodservice company headquartered in the Philippines, acquired CBTL for $350 million. This acquisition strengthened CBTL’s global presence and provided franchisees with more robust resources and international support.
6. Market Presence in the USA:
CBTL operates across multiple U.S. states, predominantly in high-traffic urban areas, airports, shopping malls, and premium retail spaces. Its brand recognition and loyal customer base make it an attractive franchise for investors.
7. Industry Category:
CBTL falls under the specialty coffee and tea franchise sector, competing with brands like Starbucks and Peet’s Coffee. Its focus on premium beverages, customer experience, and innovative products sets it apart in the U.S. market.
8. Additional Notable Information:
CBTL is known for its signature blends, gourmet teas, and customizable beverages, creating multiple revenue streams for franchisees through in-store sales, catering, and packaged retail products.
The company emphasizes sustainability initiatives, ethically sourced coffee beans, and community engagement, adding to its positive brand image.
Coffee Bean & Tea Leaf (CBTL) offers a comprehensive support system to ensure franchisees succeed, from pre-launch preparation to ongoing operational guidance. This support is one of the brand’s key advantages for potential investors.
Before opening, CBTL assists franchisees in every step to ensure a smooth launch:
Site Selection & Approval: CBTL helps identify high-potential locations based on traffic, demographics, and market analysis. Franchisees receive guidance on securing leases and permits.
Café Design & Layout: The brand provides turnkey design solutions for store interiors, equipment placement, and branding consistency to create the signature CBTL experience.
Procurement Assistance: Franchisees receive help in sourcing equipment, furniture, fixtures, signage, and initial inventory.
Business Plan Development: CBTL supports franchisees in creating a financial and operational plan, including projections for revenue, costs, and break-even timelines.
CBTL ensures franchisees and their staff are fully prepared to operate a store efficiently:
Owner Training: Intensive sessions cover financial management, operations, HR policies, and franchise management principles.
Manager Training: Managers learn store operations, team leadership, scheduling, inventory management, and customer service standards.
Barista & Staff Training: Baristas receive hands-on training in beverage preparation, quality control, equipment operation, and customer engagement.
Standard Operating Procedures (SOPs): Franchisees are provided with a detailed manual covering daily operations, food safety, hygiene, and quality standards.
CBTL equips franchisees with tools and strategies to drive customer traffic and brand awareness:
Local Marketing Guidance: Strategies for promotions, events, and loyalty programs tailored to the franchisee’s location.
Digital Marketing & Social Media: Access to global digital campaigns, content, and guidance for social media engagement.
Branding Assets: Franchisees receive templates for signage, in-store promotions, seasonal campaigns, and packaging.
National Campaigns: CBTL occasionally runs national campaigns, including product launches, which franchisees can participate in to boost sales.
CBTL’s commitment doesn’t end at launch; continuous support is available to optimize performance:
Operational Support: Field consultants and regional managers assist with store audits, workflow optimization, and troubleshooting operational issues.
Supply Chain & Inventory Management: Assistance with ordering, stock rotation, and logistics to minimize costs and prevent shortages.
Financial & Business Advisory: Guidance on cost control, profit margins, and revenue growth strategies.
Technology Support: Training and troubleshooting for POS systems, mobile ordering, loyalty apps, and reporting tools.
Regular Franchisee Meetings: Workshops and conferences for knowledge sharing, networking, and best practices.
CBTL invests in the ongoing education of franchisees and staff:
Advanced Beverage Workshops: Opportunities to learn new recipes, brewing techniques, and seasonal products.
Leadership & Management Training: Programs to enhance leadership skills, team motivation, and customer service excellence.
Certification Programs: Baristas and managers can earn certifications in beverage preparation and operational excellence.
A successful Coffee Bean & Tea Leaf (CBTL) franchisee is someone who aligns with the brand’s values, has the right business mindset, and is capable of managing a premium coffeehouse operation.
Entrepreneurial Experience: Ideal candidates have prior experience owning or managing a business, preferably in retail, foodservice, or hospitality.
Operational Skills: Understanding of day-to-day business operations, including inventory management, staff scheduling, and financial reporting, is highly valuable.
Customer Service Expertise: Experience in providing excellent customer service is critical, as CBTL emphasizes personalized and high-quality customer experiences.
Passion for Coffee and Tea Culture: Franchisees should have a genuine interest in specialty coffee, tea, and gourmet beverages.
Hands-On Involvement: CBTL prefers owners who actively participate in store operations rather than being purely absentee investors.
Commitment to Brand Standards: Maintaining product quality, service excellence, and brand integrity is crucial for long-term success.
Investment Capacity: Candidates should be able to meet the minimum cash investment requirement of approximately $250,000, plus additional costs for equipment, leasehold improvements, and working capital.
Access to Working Capital: Ability to sustain the business through the initial months until the café reaches break-even and achieves consistent cash flow.
Financial Stability: Solid credit history and financial discipline are important to secure leases, loans, and franchise approvals.
High-Traffic Locations: Ideal franchisees target urban areas, shopping centers, airports, or busy commercial districts with strong footfall.
Community-Oriented: Franchisees who are committed to engaging with their local communities and building customer loyalty are better positioned for success.
Leadership & Team Management: Ability to recruit, train, and motivate staff, fostering a positive work environment.
Problem-Solving Skills: Franchisees should be adaptable and capable of addressing operational or customer service challenges effectively.
Vision & Growth-Oriented Mindset: Desire to grow multiple units or expand the brand’s footprint within their territory.
Alignment with Brand Values: CBTL emphasizes sustainability, ethically sourced products, and community engagement. Franchisees should share these values.
Long-Term Commitment: Success in this franchise typically requires 3–5 years of active involvement before achieving peak revenue and profitability.
✅ Summary:
The ideal Coffee Bean & Tea Leaf franchisee is a passionate, hands-on entrepreneur with a background in retail or foodservice, financial capability, and a commitment to delivering exceptional customer experiences. They thrive in high-traffic locations, lead teams effectively, and are dedicated to upholding CBTL’s premium brand standards.
| Category | Details / Range (USD) | Notes |
|---|---|---|
| Franchise Fee | $12,500 – $25,000 | One-time fee paid to acquire franchise rights |
| Total Initial Investment | $940,665 – $1,430,177 | Includes leasehold improvements, equipment, signage, initial inventory, and pre-opening expenses |
| Minimum Cash Required | $250,000 | Liquid capital needed to qualify for franchise ownership |
| Leasehold Improvements | $150,000 – $588,694 | Renovations and café setup costs |
| Furniture, Fixtures & Equipment (FFE) | $235,000 – $353,703 | Tables, chairs, counters, coffee machines, brewing equipment |
| Signage | $20,000 – $94,780 | Exterior and interior brand signage |
| Initial Inventory | $2,500 – $32,000 | Coffee beans, teas, syrups, food products, and supplies |
| Permits & Security Deposits | $5,000 – $25,000 | Local permits, licenses, and deposits for utilities or rental agreements |
| Royalty Fee | 5.5% of gross revenue | Ongoing monthly fee for brand and operational support |
| Advertising Fund Fee | 2% of gross revenue | Contribution to national and regional marketing campaigns |
| Working Capital | $50,000 – $100,000 | Recommended funds for initial operating expenses |
| Average Unit Revenue | $750,000 – $1,200,000 annually | Varies by location, traffic, and management efficiency |
| Break-Even Time | 1.5 – 3 years | Depends on location, market conditions, and operational efficiency |
| Potential Revenue Streams | In-store beverage & food sales, catering, retail packaged products, seasonal promotions | Multiple channels to boost profitability |
| Expected ROI | 20% – 30% annually (typical for top-performing stores) | Subject to market conditions, management, and store performance |
