Qahwah House Franchise FDD, Profits & Costs (2025)

Qahwah House is a specialty coffee franchise inspired by the rich traditions of Yemeni coffee culture. Established in 2017 in Dearborn, Michigan, by Ibrahim Alhasbani, the company operates under Qahwah House Franchisor, LLC, with its headquarters remaining in Dearborn.

The brand takes pride in sourcing coffee beans directly from its own family farms in Yemen, where the Alhasbani family has been cultivating coffee for more than eight generations. Each batch is roasted in small quantities in the United States to maintain exceptional flavor and consistency.

Its menu highlights authentic Yemeni spiced coffee alongside espresso-based beverages, teas, fruit refreshments, and traditional desserts. Qahwah House launched its franchise program in 2019, following strong demand and rapid expansion across the country.

What sets Qahwah House apart in the crowded coffee market is its genuine Yemeni heritage and complete oversight of its coffee journey—from farm to cup. The franchise creates an inviting, community-focused atmosphere with extended operating hours and a distinctive menu inspired by Yemen’s coffee legacy.

Initial Investment

How much does it cost to start a Qahwah House franchise? It costs on average between $573,000 – $939,000 to start a Qahwah House franchised restaurant.

This includes expenses for construction, equipment, inventory, and initial operating costs necessary to open a Qahwah House café. The total investment may vary based on several factors, such as the size and layout of the coffee shop, its location, and whether the franchisee decides to lease or buy the property.

Type of ExpenditureAmount
Initial Franchise Fee$60,000
Professional Services$12,000 to $18,000
Leasehold Improvements$240,000 to $400,000
Furniture, Fixtures, and Equipment$140,000 to $210,000
Computer Systems and Point-of-Sale (POS) System$1,000 to $1,200
Permits and Business Licenses$1,000 to $2,000
Signage (Indoor/Outdoor)$9,000 to $11,000
Miscellaneous Travel and Living Expenses while Training$8,000 to $13,000
Initial Inventory$35,000 to $50,000
Smallwares and Initial Operating Supplies$10,000 to $20,000
Grand Opening Advertising$0 to $5,000
Initial Lease Payments (three months)$12,000 to $78,000
Insurance$1,800 to $2,200
Miscellaneous Pre-Opening Expenses$8,000 to $19,000
Pre-Opening Labor and Employee Payroll$15,000 to $20,000
Additional Funds (three months)$20,000 to $30,000
Total Estimated Initial Investment$572,800 to $939,400

Average Revenue (AUV)

How much revenue can you make with a Qahwah House franchise? A Qahwah House franchised restaurant makes on average $1,577,000 in revenue (AUV) per year.

Here is the extract from the Franchise Disclosure Document:

Qahwah House fdd item 19 extract

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Frequently Asked Questions

How many Qahwah House locations are there?

As of the most recent information available, Qahwah House operates 22 locations across the United States. Out of these, 18 are owned by franchisees.

What is the total investment required to open a Qahwah House franchise?

The total investment required to open a Qahwah House franchise ranges from $573,000 to $939,000.

What are the ongoing fees for a Qahwah House franchise?

A Qahwah House franchise requires ongoing fees that include a 6% royalty fee on gross sales and a 2% marketing fee.

Who owns Qahwah House?

The Qahwah House franchise is owned by Qahwah House Franchisor, LLC, founded and led by Ibrahim Alhasbani.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. SharpSheets is an independent educational resource and is not affiliated with, endorsed by, or representing any franchisor mentioned on this website. Where noted, figures are taken from the franchisor’s Franchise Disclosure Document (FDD). In some cases, we may provide independent calculations or estimates based on publicly available information. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the article constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

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