Cosi is a sandwich shop chain known for fresh, made-to-order sandwiches, salads, soups, and catering services. The franchise uses high-quality ingredients and a proven business model.
Key Insights
- Cosi began as a fresh concept focused on creating community gathering spaces centered around authentic food and a welcoming atmosphere. The business has evolved through dedicated efforts to refine its operational model and customer experience, establishing a presence in diverse locations.
- The franchise operates through a model of fast-casual dining, emphasizing freshly prepared sandwiches, salads, and baked goods. This approach allows for efficient service delivery while maintaining a commitment to quality ingredients and culinary innovation.
- The industry Cosi operates within is part of the broader food service sector, specifically the fast-casual segment, which caters to consumers seeking convenient yet higher-quality dining options. This market is characterized by evolving consumer preferences and a competitive landscape.
Franchise Fee and Costs to Open
Exploring the financial picture of Cosi gives insight into both the upfront commitment and the potential revenue opportunity. According to FDD Item 7, opening this franchise typically involves an investment in the range of $396,000 - $743,000, along with a franchise fee of $40,000 - $40,000.
Financial Performance and Revenue
Yearly gross sales of $767,926 and estimated earnings of $92,152 - $115,189 show the potential financial performance of this franchise. These figures are crucial for prospective franchisees as they help to project revenue and profitability. They offer insight into the business's ability to generate income and can be used to compare its performance against other investment opportunities. The Franchise Payback Period of 6.0-8.0 provides an estimation of the time it might take for an owner to recover their initial investment. This metric is a key consideration for anyone evaluating the financial viability of a franchise, as it relates directly to the speed at which the business can become profitable. A shorter payback period can indicate a faster return on capital, which is a significant factor in making an informed decision about a franchise investment.
Training and Resources
Cosi provides comprehensive training for new franchisees. This initial training spans two weeks and is conducted at Cosi's corporate headquarters. Cosi offers ongoing support and resources throughout the franchise lifecycle, aiding in the successful operation of a Cosi location. The franchisor recommends leveraging these resources for operational guidance.
Legal Considerations
Legal considerations for a Cosi franchisee are outlined in the Franchise Disclosure Document (FDD) and the Franchise Agreement. Note that this franchise discloses lawsuits and/or bankruptcy information in its FDD, which may impact your evaluation. Subscribe now to access more details and be sure to consult a qualified attorney before proceeding.
Challenges and Risks
Operating a Cosi-style franchise involves navigating a dynamic local market, where existing sandwich shops and cafes present competition. Franchisees must manage the daily operational complexity of preparing fresh ingredients and maintaining service speed. Dependence on a specific supply chain for signature breads and produce requires careful vendor management and potential consideration of alternative sourcing if disruptions occur.
Franchise Datasheet
FAQs
What is the minimum cash required to open a Cosi franchise?
How can I estimate the profitability and return on investment (ROI) of a Cosi franchise?
What is the franchisee fee for a Cosi franchise?
How to open a Cosi franchise?
How many locations does Cosi have?
Get insider access to franchise insights
Subscribe to receive expert tips, franchise rankings, and exclusive data straight to your inbox, trusted by thousands of aspiring business owners and investors.
Franchise resources & insights
Explore expert guides, data-driven articles, and tools to help you make smarter franchise decisions, whether you're just starting out or ready to invest.
