Five Guys vs The Coffee Bean & Tea LeafFranchise Comparison 2026
Five Guys and The Coffee Bean & Tea Leaf represent two different approaches in the QSR space. Here's how they compare on investment costs, fees, revenue potential, and market presence.
Quick Comparison
Side-by-Side Comparison
| Metric | Five Guys | The Coffee Bean & Tea Leaf | Difference |
|---|---|---|---|
| Franchise Fee | $25,000 | $35,000 | -29% |
| Total Investment (Low) | $306,000 | $250,000 | +22% |
| Total Investment (High) | $641,000 | $550,000 | +17% |
| Cash Required | $300,000 | $200,000 | +50% |
| Royalty Rate | 6.0% | 6.0% | Same |
| Advertising Fee | 1.5% | 2.0% | Lower |
| Estimated Revenue | $1.4M | $720,000 | +94% |
| Number of Locations | 1,700 | 1,100 | More |
| Year Founded | 1986 | 1963 | Newer |
| Training Duration | 3 weeks | 3 weeks | Same |
Note: Data sourced from public FDD filings and industry reports. Actual costs vary by location, real estate, and format. Always review current FDD Item 7 and Item 19 disclosures before making investment decisions.
Detailed Analysis
About Five Guys
Premium burger concept with fresh ingredients and no freezers. Higher food costs but strong brand loyalty and per-unit sales.
About The Coffee Bean & Tea Leaf
Specialty coffee and tea with global locations. Premium positioning and diverse beverage menu.
Investment Comparison
The Coffee Bean & Tea Leaf requires a lower initial investment (avg $400,000) compared to Five Guys(avg $473,500), making it more accessible for first-time franchisees. However, Five Guys may offer higher revenue potential.
Fee Structure
Five Guys has lower ongoing fees (7.5% total) compared to The Coffee Bean & Tea Leaf(8.0% total), which means more of each sales dollar stays with the franchisee. Over time, this can significantly impact profitability.
Market Position
Five Guys has a significantly larger footprint with 1,700 locations compared to The Coffee Bean & Tea Leaf's 1,100. This larger network typically means better brand recognition, more purchasing power, and stronger operational support.
Frequently Asked Questions
How much does it cost to open a Five Guys vs The Coffee Bean & Tea Leaf franchise?
Five Guys requires an initial investment of $306,000 to $641,000, while The Coffee Bean & Tea Leaf requires $250,000 to $550,000. The Coffee Bean & Tea Leaf has the lower average investment at $400,000.
What are the ongoing fees for Five Guys vs The Coffee Bean & Tea Leaf?
Five Guys charges a 6.0% royalty plus 1.5% advertising fee (7.5% total). The Coffee Bean & Tea Leaf charges 6.0% royalty plus 2.0% advertising fee (8.0% total). Five Guys has lower total ongoing fees.
Which franchise makes more money: Five Guys or The Coffee Bean & Tea Leaf?
Based on estimated average unit revenue, Five Guys generates $1.4M per location compared to $720,000 for The Coffee Bean & Tea Leaf. However, profitability depends on many factors including local market, operating costs, and management.
How many locations does Five Guys have vs The Coffee Bean & Tea Leaf?
Five Guys has 1,700 locations, while The Coffee Bean & Tea Leaf has 1,100 locations. Five Guys has the larger footprint, which typically means stronger brand recognition and supply chain advantages.
Is Five Guys or The Coffee Bean & Tea Leaf a better franchise investment in 2026?
Both Five Guys and The Coffee Bean & Tea Leaf are established QSR brands with proven models. The Coffee Bean & Tea Leaf offers a lower entry point, while Five Guys shows higher average revenue. The best choice depends on your available capital, local market conditions, and personal goals. Always review the current FDD before making investment decisions.
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