American House Coffee & Tea Franchise USA (2025): Cost, ROI, Eligibility & How to Apply

The café culture in the United States is booming faster than ever. With millions of Americans consuming coffee and tea daily, the demand for premium yet affordable beverage experiences continues to rise. Among the emerging players, the American House Coffee & Tea Franchise is becoming a preferred choice for entrepreneurs who want to tap into this profitable industry.
This comprehensive guide covers everything you need to know: franchise cost, ROI, eligibility, best locations, application steps, and essential insights to help you make an informed investment.
Quick Overview Table
| Category | Details |
|---|---|
| Brand Name | American House Coffee & Tea |
| Industry | Coffee, Tea & Beverages |
| Business Formats | Kiosk, Café, Drive-Thru |
| Total Investment | $80,000 – $250,000 |
| Franchise Fee | $20,000 – $40,000 |
| Royalty Fee | 4% – 6% |
| Expected ROI | 18–30% annually |
| Break-Even Period | 12–24 months |
| Ideal Store Size | 300–1,200 sq ft |
| Locations Best For | Malls, Airports, Offices, Universities |
| Official Website | Apply Now |
Table of Contents
Introduction
The U.S. coffee industry is valued at over $85 billion, and Americans drink more than 500 million cups of coffee every single day. Tea consumption is also surging, thanks to the rising popularity of herbal teas, bubble tea, and wellness beverages.
The American House Coffee & Tea franchise fills this demand with a menu focused on:
- Freshly brewed specialty coffee
- Organic teas
- Smoothies & cold brews
- Healthy snacks & café-style bites
- Quick takeaway options
With flexible store formats and a relatively low investment compared to big industry players, this franchise offers entrepreneurs an opportunity to start a profitable beverage business with strong, year-round demand.
Also Read: Barrio Burrito Bar Franchise 2025
Why Choose American House Coffee & Tea Franchise?
1. High-Demand Product Category
Coffee and tea are recession-proof products. Customers consume them daily, ensuring consistent revenue.
2. Premium Yet Affordable
The brand focuses on quality beverages at competitive prices—ideal for students, workers, commuters, and families.
3. Versatile Business Models
You can choose from:
- Small kiosks
- Café-style dine-in stores
- Drive-thru models for high-volume sales
4. Strong Delivery Market
Coffee and tea perform extremely well on delivery apps, making this business profitable even in small spaces.
5. Fast Setup Time
Franchise outlets typically open within 45–90 days, depending on location and format.
Importance of Coffee & Tea Franchises in USA
The beverage industry continues to outperform many other F&B sectors due to:
The daily ritual nature of coffee
People buy it every day—on the way to work, during breaks, after meals, or while studying.
Growing tea culture
Organic teas, boba tea, milk teas, matcha, and wellness teas are trending nationwide.
High profit margins
Average profit margins in cafés range from 65–80%, higher than many food businesses.
Increasing demand for cozy café spaces
Remote work has boosted café footfall across cities.
This positions American House Coffee & Tea as a future-forward franchise.
Founder Details
American House Coffee & Tea is associated with Chris and Michelle Tafoya, who are listed as key leadership figures connected with the brand’s franchise presence. Their business activity is linked to the address Old Town Amtrak Stop, 4005 Taylor Street, San Diego, CA 92110, which is referenced on franchise directories as part of the brand’s operational or contact footprint.
Chris & Michelle Tafoya are noted for their involvement in expanding the brand’s visibility and supporting franchise outreach, bringing experience in small business development and beverage-focused entrepreneurship. While the brand’s full corporate structure is not publicly disclosed, their names are frequently associated with its franchise representation in the United States.
Research Insights
Coffee Industry Stats
According to the National Coffee Association (NCA), coffee consumption in the U.S. is at a 20-year high.
Source: https://www.ncausa.org/
Tea Market Growth
The Tea Association of the USA reports steady growth in herbal and specialty teas.
Source: https://www.teausa.com/
Franchise Opportunity Trends
F&B beverage franchises show higher ROI than traditional restaurant franchises.
Source: https://www.franchise.org/
These insights confirm the strength and stability of the café franchise model.
Investment & ROI Breakdown
| Cost Component | Estimated Amount |
|---|---|
| Franchise Fee | $20,000 – $40,000 |
| Store Setup & Interiors | $40,000 – $120,000 |
| Equipment (espresso machines, tea brewers) | $15,000 – $40,000 |
| Initial Inventory | $3,000 – $8,000 |
| Software/POS System | $1,000 – $3,000 |
| Licenses & Permits | $2,000 – $5,000 |
| Working Capital (3 months) | $10,000 – $30,000 |
| Total Estimated Investment | $80,000 – $250,000 |
Financial Performance
- Annual ROI: 18–30%
- Payback Period: 12–24 months
Coffee businesses typically break even faster because of low inventory spoilage and high repeat sales.
Also Read: Hummingbird Music School Franchise USA 2025
Franchise Models Available
1. Kiosk Format
- 80–150 sq ft
- Low investment
- Works in malls, universities, office lobbies
2. Standard Café
- 400–800 sq ft
- Indoor seating
- High revenue potential
3. Drive-Thru Model
- Maximum throughput
- Ideal for suburbs and highways
Eligibility Criteria
To qualify for the franchise, you must:
- Be 18+
- Have the ability to invest minimum $80,000
- Show proof of funds
- Be motivated to run a beverage business
- Preferably have customer service or business experience
Required Documents
- Government-issued ID
- USA Business License / LLC / Corporation documents
- Proof of financial capacity
- Proposed location details
- Lease agreement (if applicable)
- Completed franchise application form
How to Apply for American House Coffee & Tea Franchise
Once the official franchise portal is available, you can apply using these steps:
Step-by-step Process
- Visit: The American House Coffee & Tea
- Click on Franchise / Own a Store.
- Fill out the franchise inquiry form.
- Attend the introduction call with the franchise team.
- Submit your investment and location details.
- Review the FDD (Franchise Disclosure Document).
- Sign the franchise agreement.
- Begin store setup and training.
Best Locations to Open in the USA
High-performing zones include:
- College Towns: Boston, Austin, San Diego
- Commercial Hubs: New York, Chicago, Los Angeles
- Airports & Transit Stations
- Shopping Malls & Retail Parks
- Near Corporate Offices & Tech Parks
These locations have continuous foot traffic and strong beverage demand.
Future Outlook
The future looks promising for beverage franchises due to:
- Rising demand for personalized drinks
- Growth of the wellness tea industry
- Strong café culture among Gen Z & Millennials
- Increasing preference for artisan beverages
American House Coffee & Tea sits at the intersection of tradition and trend, making it highly scalable.
Pros & Cons
Pros
- High repeat business
- Strong beverage margins
- Low wastage
- Flexible business models
Cons
- Competition from major brands
- Essential to maintain beverage quality
- Premium machines required
Conclusion
The American House Coffee & Tea Franchise is an excellent business opportunity for entrepreneurs wanting to enter the high-demand café industry. With flexible investment models, strong ROI potential, and growing national beverage consumption, this franchise promises long-term stability and profitability.
If you’re planning to start a café franchise in 2025, this brand deserves your attention.
Frequently Asked Questions(FAQs)
1. What is the minimum investment needed?
Ans: Between $80,000 – $250,000, depending on the format.
2. Do I need prior experience?
Ans: No, but customer service experience is helpful.
3. How soon can I break even?
Ans: Most outlets achieve break-even in 12–24 months.
4. Does the franchise offer training?
Ans: Yes, full training and support are provided.
5. Can I open multiple outlets?
Yes, multi-unit franchise ownership is allowed.
