Starbucks license application 2025

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The primary source of revenue for Starbucks comes from its company-operated stores. These are the iconic coffeehouses that we see on street corners and in shopping malls.
Instead, the company has chosen a different path, favoring licensing agreements over franchising, particularly within the United States. This approach allows Starbucks to maintain tighter control over its brand, ensuring a consistent customer experience across all locations.
Licensed Stores : Under the licensed model, Starbucks receives a margin on branded products and supplies sold to the licensed store operator along with a royalty on retail sales. Licensees are responsible for operating costs and capital investments.
Licensing is used for quick expansion by granting local partners rights to use the Starbucks brand and set up stores as franchisees. Royalty and fee-based models require low investment while increasing footprint. These tailored entry modes have supported Starbucks phased globalization process.
If you were to open a Starbucks cafe, the potential rewards are high, but so is the amount of risk involved. ing to reports from existing Starbucks franchise owners, profits can range anywhere between $50,000 $200,000 annually, depending on how well its managed. The average revenue per store is roughly $1.2M.
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No Starbucks franchise fee is required anymore after the company transitioned from traditional franchises to corporate-owned with an assortment of licensed stores. However, a licensing fee for Starbucks-licensed stores averages around $315,000 plus additional net worth requirements.
Licensed Stores The coffeehouse company receives royalties and licence fees in return. Additionally, Starbucks sells coffee equipment like coffee brewers and espresso machines to its licensees to facilitate their operations.
Starbucks, like Dutch Bros Coffee and Dunkin meets the definition of a food establishment since the chain prepares and serves coffee and food items. For this reason, the state or county in which the Starbucks operates may require that its baristas and other employees earn a food handler card.

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