Bella Via Coffee Inc
Date of Incorporation: 2004
Franchising Since: 2004
Headquarters: California
Business and Description: The co-founders of Bella Via Coffee Inc also own and operate the Coffee Kiosk Inc. Bella Via Coffee Inc is offering drive-through retail coffee franchises that provides a variety of gourmet coffee drinks and other food and beverages. The franchise that is on offer is exclusive within the shopping center, parking lot or other building or area where the Bella Via Coffee franchise is situated, but not elsewhere. Although Bella Via Coffee has no predecessors, their co-founders also own and operate Coffee Kiosk, Inc. a California corporation that is engaged in the same business as
Franchise Offer: The Franchise on offer is to operate a Bella Via Coffee drive-through. There is also an option of signing an Area Development Agreement. The initial franchise fee is $35,000.
Financial Assistance: Bella Via Coffee does not offer any financial assistance nor do they guarantee any lease, note or obligation.
Training: Bella Via Coffee Inc. offers training at no extra cost for up to 3 people. Any additional trainees will each pay $250 per day for tuition. The training involves both classroom and on the job training and will cover such things as company overview, Product Marketing, Product Making, Register Procedures, Ordering, Stocking, Profits and Margins, Filing, Accounting and Register Reports etc. The training usual lasts 3 days. Bella Via Coffee will provide the franchisee with "Store Opening Training" (without additional charge) at the franchisee’s Bella Via Location for 1 week before and up to 3 days after the Bella Via Location opens, to set-up and instruct in all phases of the Bella Via Coffee Franchise.
Territory: Bella Via Coffee grants an exclusive territory with the franchise agreement. While this is in effect, Bella Via Coffee will not open or locate another Bella Via Coffee outlet within a specified radius (varies from 1/4 mile in densely populated urban areas (this is the minimum territory Bella Via Coffee grants) to 1 mile in less densely populated or rural areas)
Renewal and Termination: The initial term is 6 years and can be renewed for an additional term of 5 years if the franchisee is in good standing. There is a renewal fee of $100. Neither the franchisee nor the franchisor can terminate without cause.
Obligations and Restrictions: The franchisee must take part in initial and ongoing training. The franchisee must also purchase a point of sale (POS) system that Bella Via Coffee Inc. specifies. Bella Via Coffee Inc. will help in the location of the franchise and will expend marketing and advertising fees collected from all Bella Via Coffee franchises for national and local advertising. The franchisee may develop advertising materials at their own cost but must be approved in advance by Bella Via Coffee Inc. The franchisee must offer all Bella Via Coffee Products and other goods and services that Bella Via Coffee designates as required for all Bella Via Coffee Franchisees.
Total Number of Company Owned Units for 2005: 5
Total Number of Company Owned Units Opened for 2005: 0
Total Number of Company Owned Units Closed for 2005: 0
Total Number of Franchised Units for 2005: 1
Total Number of Franchised Units Opened for 2005: 1
Total Number of Franchised Units Closed for: 0
Investment Table:
Estimated Initial Investment for Single Unit Franchise:
| Name of Fee | Low | High |
|---|---|---|
| Initial Franchise Fee | $35,000 | $35,000 |
| Area Development Option Fee | $0 | $110,000 |
| Travel / Living Expenses for Initial Training | $100 | $5,000 |
| Pre-fabricated structure, location build out, furnishings, fixtures, accessories, initial inventory and equipment (including point of sale system) | $200,000 | $275,000 |
| Grand Opening Advertising | $2,500 | $2,500 |
| Licenses and Permits | $15,000 | $25,000 |
| Rent (including real estate and other taxes) | $2,000 | $8,000 |
| Rental Security Deposit | $2,000 | $8,000 |
| Business Insurance | $5,000 | $15,000 |
| Legal/Accounting | $5,000 | $10,000 |
| Additional Funds - 1st 3 months | $15,000 | $30,000 |
| Total | $281,600 | $523,500 |
Ongoing Costs for Single Unit Franchise:
| Weekly Royalty | 6% of weekly Gross Receipts. The minimum weekly royalty will be $175.00. |
|---|---|
| Weekly Advertising | Greater of (i) 2% of total weekly Gross Receipts or (ii) $125.00. |
| Grand Opening | $2,500 |
| Additional Training Fees | $250 per day for each trainee |
| Transfer | $7,500 |
| Audit | Cost of audit (varies from $1,500 to $3,000) plus 12% interest on underpayment |
| Renewal Fee | $100 |
| Other Authorized Goods and Services | $10,000 per year maximum |
The above information has been taken from the UFOC/FDD of the Bella Via Coffee Inc.
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