Starbucks Franchise FDD, Profits & Costs

Starbucks was founded in 1971 in Seattle’s Pike Place Market. Initially, the company focused on selling fresh-roasted coffee beans, tea, and spices. Howard Schultz joined Starbucks in 1982 and was inspired by Italian coffee culture, transforming the company into the coffeehouse model it is known for today.

The company is headquartered in Seattle, Washington. Starbucks operates in more than 80 markets and connects with millions of customers daily, offering various coffee beverages, teas, and pastries.

The brand differentiates itself through its focus on quality, customer experience, and community impact, emphasizing a mission to inspire and nurture the human spirit—one person, one cup, and one neighborhood at a time.

Starbucks has grown to tens of thousands of stores globally, and while it does have licensed locations, the company’s franchising model is limited, with a focus on company-operated stores in the U.S. and worldwide​.

Initial Investment

How much does it cost to start a Starbucks franchise? Starbucks does not offer franchise opportunities, as all of its locations are company-owned or licensed.

Therefore, it is not possible to start a Starbucks franchise, and there is no associated cost for franchising with the company.

For similar coffee and tea franchises in the industry, however, the initial investment is on average $477,000, ranging from $119,000 to $2,018,000.

Here are a few comparable franchises with their initial investment requirements:

Average Revenue (AUV)

How much revenue can you make with a Starbucks franchise? Since the chain does not franchise its stores and all locations are company-owned, Starbucks does not publish a Franchise Disclosure Document. Therefore, it does not disclose the average revenue of its stores.

However, looking at comparable franchises, a similar franchise in the coffee industry makes on average $902,000 in revenue (AUV) per year.

Below are 10 Starbucks competitors and their average yearly revenue as a comparison:

Frequently Asked Questions

• Net Worth Requirement: $500,000 to $1.5 million.
• Liquid Capital Requirement: $250,000 to $500,000.

These figures reflect the requirements for well-established coffee franchises and may vary depending on factors such as brand recognition, store location, size, and market conditions.

For more precise details regarding licensing opportunities and financial requirements, it’s recommended to directly contact Starbucks or consult with their official business partnerships division.

How much can a Starbucks franchise owner expect to earn?

While Starbucks does not operate as a traditional franchise and prefers licensing partnerships, licensed store owners can look at general earnings metrics for similar businesses in the coffee industry.

The average gross sales for a coffee shop franchise similar to a Starbucks franchise is approximately $902,000 per shop. Assuming a 15% operating profit margin, $902,000 yearly revenue would result in about $135,000 operating profit per year.

What funding options are available for a Starbucks franchise?

Most franchise buyers in Starbucks’s investment range finance their unit through an SBA 7(a) loan, with some multi-unit operators using SBA 504 loans for real estate. Buyers with rollable retirement funds sometimes use a ROBS structure to reduce debt service. See SharpSheets’ financial model hub for funding guidance.

How long does it take to pay back a Starbucks franchise investment?

Payback periods for franchises in Starbucks’s category typically run 3-7 years, depending on investment level, location performance, and financing structure. Actual payback varies significantly by unit performance and debt service obligations.

Who owns Starbucks?

Starbucks is a publicly-traded company listed on the Nasdaq stock exchange under the ticker symbol SBUX. The majority of its shares are owned by institutional investors, mutual funds, and individual shareholders.

The largest shareholders often include asset management firms such as Vanguard Group and BlackRock, as well as individual investors who own smaller portions of the stock. Howard Schultz, the former CEO and long-time chairman, was a significant individual stakeholder but does not own a controlling share.

SharpSheets Editorial Team | sharpsheets.io | Last Updated: June 2026

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.

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Research Starbuckss Costs Fees franchise data: For the full FDD cost breakdown, investment tables, and Item 19 disclosures, visit FranchisePayback.com → Starbuckss Costs Fees FDD Review.