PJ’s Coffee Franchise FDD, Profits & Costs (2025)

PJ’s Coffee of New Orleans was founded in 1978 by Phyllis Jordan, who focused on high-quality beans and expert roasting.
The franchise is headquartered in New Orleans, Louisiana, staying true to its roots and embracing the city’s rich culture and flavors.
In 2008, the Ballard brothers—Paul, Steven, and Scott—took ownership. They have maintained the company’s commitment to excellence.
PJ’s Coffee started franchising to bring its unique coffee experience nationwide. The menu features signature cold brew iced coffee, brewed through a cold-drip process that reduces acidity, alongside traditional coffees, espressos, and teas.
The franchise is known for offering New Orleans-style beignets, adding a local flair. PJ’s stands out by sourcing top-quality Arabica beans, roasted in small batches to ensure premium quality. This dedication to craftsmanship and its New Orleans heritage sets PJ’s Coffee apart in the crowded coffee industry.
Initial Investment
How much does it cost to start a PJ’s Coffee franchise? It costs on average between $192,000 – $1,131,000 to start a PJ’s Coffee franchised restaurant.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the type of restaurant you choose, the location, and whether the franchisee chooses to lease or purchase the property. PJ’s Coffee offers 2 types of franchises:
Type of Expenditure | Traditional Model | Nontraditional Model |
---|---|---|
Initial Franchise Fee | $10,000 to $35,000 | $10,000 to $25,000 |
Real Estate Lease Deposit for Premises | $2,500 to $12,500 | $2,000 to $7,500 |
Furniture, Fixtures, and Equipment | $130,000 to $215,000 | $50,000 to $215,000 |
Opening Advertising | $12,500 | $12,500 |
Travel and Living Expenses While Training | $3,500 to $5,000 | $3,500 to $5,000 |
Insurance | $2,500 to $5,000 | $2,500 to $5,000 |
Other Prepaid Expenses, Such as Deposits, Licenses, and Various Permits | $2,000 to $6,500 | $2,000 to $4,500 |
Opening Inventory | $10,000 to $14,000 | $10,000 to $14,000 |
Signage | $7,000 to $18,000 | $4,000 to $7,000 |
Free Standing Building or Leasehold Improvements | $175,000 to $725,000 | $50,000 to $175,000 |
Small Wares | $9,000 to $12,000 | $9,000 to $12,000 |
POS System & Backoffice Computer System | $2,500 to $5,500 | $2,500 to $5,500 |
Legal, Accounting & Organizational Costs | $2,500 to $5,000 | $2,500 to $5,000 |
Construction Drawings | $7,000 to $30,000 | $1,500 to $11,500 |
Additional Funds | $30,000 | $30,000 |
TOTAL | $406,000 to $1,131,000 | $192,000 to $543,500 |
Average Revenue (AUV)
How much revenue can you make with a PJ’s Coffee franchise? A PJ’s Coffee franchised restaurant makes on average $528,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
This compares to $587,000 yearly revenue for similar coffee and tea franchises. Below are 10 PJ’s Coffee competitors as a comparison:
PJ’s Coffee of New Orleans Franchise Disclosure Document
Frequently Asked Questions
How many PJ’s Coffee locations are there?
As of the latest data, PJ’s Coffee operates a total of 131 locations. Out of these, 121 are franchise-owned, and 10 are company-owned. This reflects continued growth in recent years, as the company has expanded its footprint across various regions in the U.S.
What is the total investment required to open a PJ’s Coffee franchise?
The total investment required to open a PJ’s Coffee franchise ranges from $192,000 to $1,131,000.
What are the ongoing fees for a PJ’s Coffee franchise?
For a PJ’s Coffee franchise, the ongoing fees include a royalty fee of 5% of net sales. This fee is typical for franchises and covers the use of the PJ’s Coffee brand and operational support provided by the franchisor. Additionally, franchisees are required to pay a marketing fee of 2% of net sales, which supports national and regional marketing efforts to promote the brand
What are the financial requirements to become a PJ’s Coffee franchisee?
To become a PJ’s Coffee franchisee, the financial requirements include a minimum net worth of $500,000. Additionally, prospective franchisees must have at least $100,000 in liquid capital. These financial benchmarks ensure that franchisees have the necessary resources to cover initial investments, operational costs, and any unforeseen expenses while establishing their business.
How much can a PJ’s Coffee franchise owner expect to earn?
The average gross sales for a PJ’s Coffee franchise are approximately $0.53 million per location. Assuming a 15% operating profit margin, $0.53 million yearly revenue can result in $79,500 EBITDA annually.
Who owns PJ’s Coffee?
PJ’s Coffee is owned by Ballard Brands, LLC, a company founded by brothers Paul, Scott, and Steve Ballard. The Ballard family acquired PJ’s Coffee in 2008, and since then, they have been responsible for expanding the brand. Ballard Brands is based in New Orleans, Louisiana, and operates a variety of other food and beverage businesses alongside PJ’s Coffee.
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