Best Coffee Franchises to Own in 2025

Introduction

If you’re thinking about entering the coffee business, this guide is for you. Coffee is more than just a drink—it’s a daily ritual, a multi-billion-dollar industry, and a massive business opportunity. But is investing in a coffee franchise actually worth it?

We’ll break down the coffee industry, explore key trends, and analyze three of the fastest-growing coffee franchises making waves right now.

Industry Overview

Opportunity

The U.S. coffee industry is worth over $100 billion annually and continues to grow. With 63% of Americans drinking coffee daily, demand is robust. Specialty coffee, in particular, has seen a surge as consumers increasingly prefer high-quality, ethically sourced coffee and unique blends over basic drip coffee.

Independent vs. Corporate Giants

While corporate giants like Starbucks and Dunkin’ dominate the market, boutique-style coffee franchises are thriving. They focus on quality, branding, and customer experience rather than mass production, creating opportunities for franchisees to carve out a niche.

Fast-Growing Coffee Franchises

Foxtail Coffee

Launched in 2016, Foxtail Coffee is one of the fastest-growing specialty coffee brands in the U.S.

Highlights:

• Focus Ethically sourced, craft-roasted coffee served in warm, inviting spaces.
• Differentiation Neighborhood coffee shop ambiance, high-end branding, and strong community engagement.
• Investment Ranges from $250,000 to $700,000, depending on location size and buildout.
• Strengths Unique branding and quality offerings drive strong unit economics.

Foxtail proves that boutique-style coffee brands can compete successfully against major chains by offering a unique experience and superior quality.

Moge Tee

Moge Tee is a brand blending two major beverage trends: bubble tea and premium coffee.

Highlights:

• Focus Primarily a bubble tea franchise, many locations also serve espresso-based drinks.
• Market Insight The global bubble tea market is projected to reach $4 billion by 2027, making their hybrid model advantageous.
• Investment $160,000 to $270,000, offering a competitive entry point for a high-margin beverage franchise.
• Differentiation A diverse menu attracts both tea lovers and coffee drinkers.

For those seeking a fresh take on the traditional coffee shop, Moge Tee provides a compelling option.

Summer Moon Coffee

A Texas-based franchise, Summer Moon Coffee stands out with its unique roasting process and signature flavors.

Highlights:

• Unique Process Wood-fired roasting gives their coffee a distinctive smoky flavor.
• Signature Offer Moon Milk, a secret sweet cream recipe, creates a unique taste.
• Investment $600,000 to $1 million, placing it on the higher end of coffee franchises.
• Strengths Strong brand differentiation, loyal customer base, and attractive margins.

Summer Moon’s innovative roasting and exclusive menu offerings give it a strong competitive edge in the industry.

Are Coffee Franchises Worth It?

Pros

Daily Habit: Coffee is a daily ritual, driving repeat business and high customer retention.

Specialty Niche: Innovative branding and premium experiences help franchises like Foxtail, Moge Tee, and Summer Moon build loyal customer bases.

Growth Potential: With the right concept, location, and execution, coffee franchises can be profitable and rewarding investments.

Cons

Competition: The industry is highly competitive, with corporate giants, local shops, and home brewers.

High Costs: Initial investments and operational expenses can be significant.

Labor Intensive: Running a coffee shop requires significant staffing and management.

Key Considerations

Before investing in a coffee franchise, ask yourself:

1. Location Do you have access to a high-traffic area?
2. Differentiation Can you stand out from Starbucks, Dunkin’, and local competitors?
3. Capital Are you ready to invest in quality service, branding, and operations?

If you can confidently answer “yes” to these questions, a coffee franchise could be an excellent opportunity. However, if high costs or operational complexity concern you, it may be worth exploring other food and beverage franchise models or industries with lower overhead.

Conclusion

Coffee franchises are not a guaranteed success, but with the right concept, location, and execution, they can be highly profitable and rewarding. If you’re interested in learning more about coffee franchises or other investment opportunities, visit Vetted Biz for detailed research and rankings.

Take care, and good luck on your journey into the coffee business!