How Much is a Coffee Shop Franchise in the Philippines?
The coffee franchise price range in the Philippines starts at ₱100,000 and goes up to ₱1.5 million and above.
Coffee Franchise Price Range in the Philippines
Here’s a breakdown of three standard pricing tiers for coffee franchises.
Low-Tier Coffee Franchises (₱100,000 to ₱500,000)
Low-tier coffee franchises are budget-friendly and usually serve as an entry point for new entrepreneurs looking for affordable cafe packages. The primary focus of their operations is to achieve high-volume sales with low overhead costs, thereby generating more monthly profits.
Key Features:
- Business format: Small coffee kiosks, food carts, or mobile setups
- Menu: Basic hot and iced coffee, minimal customization
- Location: Markets, terminals, school areas, and community spaces
- Support: May include basic training and branding, but setup is often handled by the franchisee
- Inclusions: Coffee equipment, starter inventory, and signage
Ideal For: First-time business owners or those testing the coffee market with low risk and quick setup.
Mid-Tier Coffee Franchises (₱500,000 to ₱1.5 million)
Mid-tier coffee franchises are the most popular option for entrepreneurs who want a balance between cost and value, not too pricey, yet suitable enough to have robust support, modern branding, and a more comprehensive business system.
Key Features:
- Business format: Coffee kiosks or compact café-style shops
- Menu: Wide drink selection, including blended coffee, cold brews, and specialty drinks
- Location: Inside malls, commercial buildings, or neighborhood hubs
- Support: Franchisee training, operational manuals, soft opening assistance, and supplier access
- Inclusions: Full coffee setup, signage, small construction, uniforms, and marketing materials
Ideal For: Entrepreneurs looking to operate a branded coffee business with professional systems in place, while keeping the investment below ₱2 million.
Premium Coffee Franchises (₱1.5 million and above)
Premium coffee franchises are for investors with more capital and those who want a full-service café experience. You can expect a well-known brand to offer this type of franchise package, providing complete turnkey solutions.
Key Features:
- Business format: Full dine-in coffee shops with custom design and layout
- Menu: Complete food and beverage offerings, from espresso-based drinks to sandwiches and desserts
- Location: High-traffic malls, lifestyle centers, central business districts
- Support: End-to-end setup, from site selection and construction to staff training and national marketing
- Inclusions: Premium coffee machines, high-end furniture, full kitchen, branded interiors, digital menu boards
Ideal For: Business owners or investors who aim to build a large-scale operation with strong brand backing and a complete café experience.
💡 Planning to start your own coffee business? Learn the exact steps, legal requirements, and startup tips in our guide on how to start a franchise business in the Philippines.
What Is Included in the Coffee Franchise Price?
Starting a coffee franchise in the Philippines involves more than just buying the brand name. The total franchise cost usually includes several key elements. Understanding each of these cost factors can help you assess the actual value of your franchise investment.
Franchise Fee
If you’re not familiar, the franchise fee is the initial payment you pay (required) to join a coffee franchise. It gives you the legal right to operate under the brand’s name, use its business model, and access its operational systems, including coffee preparation protocols, POS system usage, staff scheduling, and training and onboarding systems.
In other words, your franchise fee is your official entry point into the franchise system.
While franchise fees vary depending on the coffee franchisor you’re engaging, the fee typically includes:
- Trademark rights – use of the company’s name, logo, and branding.
- Business model access – proven systems for running operations, serving coffee, and managing staff.
- Manuals and guides – SOPs that cover every part of the business.
Most coffee franchisors will require you to pay franchise fees upfront, and these fees are generally non-refundable. It is also a one-time cost within a specified timeline (2 years, 3 years, or 5 years), with renewable fees of half the total franchise fee if you choose to renew after the franchise term.
In the Philippines, coffee franchise fees will depend on the brand’s popularity and existing capabilities:
- ₱100,000–₱400,000 for smaller or emerging local brands
- ₱450,000–₱800,000 for mid-sized (established) local brands
- ₱800,000–₱1 million+ for well-known national or global chains
You’ll find lower franchise fees for smaller or emerging local coffee brands, as they typically have fewer inclusions and less brand recognition. Conversely, higher costs are expected from well-known, established brands with a strong market presence, such as Bo’s Coffee.
My recommendation is always to check what the franchise fee covers before signing a formal agreement with the franchisor. Ask as many relevant questions as you can to help you assess whether the franchise fee is worth your investment.
Equipment and Setup Costs
You can’t run a cafe without its major equipment, such as espresso machines.
Generally, coffee franchisors will provide you with the basic equipment you need to operate your coffee shop as part of your franchise fee. Others would charge additional fees if you want to upgrade to better equipment. This is primarily the case if the franchisor sees that your location has high traffic, which means you need a solid espresso machine, such as a 2-group espresso machine, to cater to a long line of customers.
What equipment is typically included in franchise fees?
- Espresso machines (single or double group heads)
- Coffee grinders
- Milk frothers and blenders
- Knock boxes and tamping tools
- Basic POS system
- Cash register
- Receipt printer
For coffee franchises that offer drip coffees (and other types of coffee), they usually provide drip brewers or French presses.
What is typically not included in franchise fees?
- Refrigerators for milk and perishables
- Freezers for ice and frozen items
- Storage racks and dry goods shelving
- Digital POS terminal
- Construction and store setup
- Utilities and installations
Inventory and Supplies
Before your store’s grand opening, you need to have an inventory of supplies, which includes ingredients, packaging, and cleaning materials.
Most coffee franchisors in the Philippines, like those offering our coffee franchise packages, provide a starter inventory kit designed to last for about a month of operation.
What’s typically included in the initial inventory:
- Coffee beans or ground coffee (house blend or signature roast)
- Milk, cream, and milk alternatives
- Flavor syrups (e.g., caramel, hazelnut, vanilla)
- Sugar, sweeteners, and powdered drink mixes
- Non-coffee ingredients (such as teas and pastries).
- Packaging and serving materials (hot and cold branded cups, lids, straws, stirrers, napkins, cup sleeves, takeout bags, and boxes)
- Uniforms and other store items (branded aprons, shirts, name tags, hairnets, etc.).
As mentioned earlier, the starter kit covers a 30-day period. After the first month, you will need to reorder supplies on a regular basis.
As a general rule, franchisors typically require you to order from their central hub (warehouse) or from accredited suppliers to ensure consistency in quality and taste.
One upside of Philippine coffee franchising is that most franchisors provide tracking tools or reorder schedules to help maintain stable operations and avoid running out of stock.
Training and Support
One of the primary reasons aspiring entrepreneurs enter coffee franchising is that there is an established training process. It’s one of the more tedious options if you want to create your startup’s brand – in the case of franchising, it’s an obvious advantage.
Additionally, the franchisor provides services such as hiring, onboarding, and training your baristas to prepare products according to their coffee preparation guidelines.
Obviously, you need good training to expect consistency in quality and customer service for your franchise store, especially for franchisees who still have full-time jobs and rely on their baristas and store managers to run the business. The idea is that the cafe must run sustainably, given the strong staff training.
What’s included in franchise training:
- Barista skills training (how to use espresso machines and other equipment, step-by-step drink preparation, milk steaming, pouring, and presentation)
- Customer service training (handling orders, managing wait times and complaints, and upselling techniques)
- Store operations (opening and closing procedures, use of POS systems, inventory management, and daily reporting)
- Staff management (hiring guidelines, scheduling shifts, maintaining cleanliness, and hygiene standards).
- Food safety and compliance
Most initial barista training programs last between 3 and 7 days, depending on the menu offerings and the complexity of the operation. For mid-sized to established local brands, training is often held at the brand’s headquarters or a franchisee’s store.
Those are mostly what you’ll expect from franchisee training – before and during your store’s grand opening. And for ongoing support after opening, coffee franchisors must provide continued assistance to ensure franchisees operate smoothly.
Regular store visits and performance audits help staff and baristas maintain the quality of both coffee and customer service. Local marketing campaigns tailored to the franchisee’s location and target audience must also be regular to bring in new customers to the store.
Marketing Campaigns
The need to market the store is still expected, even for established brands, as marketing helps generate more customers and build brand awareness to consistently bring in new sales at both national and local levels.
Coffee franchisors in the Philippines often include marketing expenses either as a one-time fee in the franchise package or as a recurring monthly charge.
For local franchise stores, the marketing fund is used for grand opening events, flyers, posters, point-of-sale materials, and digital marketing campaigns aimed at targeting potential customers within the geographical area.
Given the brand’s strong and established reputation and advertising power, potential coffee franchisees can expect to have brand recognition among customers, resulting in a consistent flow of traffic to their stores.
Looking for a Practical and Profitable Option?
If you’re exploring coffee franchises that balance affordability with brand quality, Hills & Valleys offers a smart entry point. With packages starting at ₱490,000, we provide a complete kiosk setup, barista training, marketing support, and operational guidance – everything you need to get started strong.
