Dunn Brothers Coffee

Dunn Brothers Coffee

Information based on 2024 FDD

Food & Beverage · Coffee & Tea

Investment min
$540K
Total: $540K–$809K
Avg gross revenue
$576K
Unit-level, 2024
Franchise fee
$40K
Per current disclosure
Royalty
5%
of gross revenue
Locations
49
Franchising since 1994

Description

What is Dunn Brothers Coffee?

Dunn Brothers Coffee stands out in the competitive coffee industry with its authentic, artisanal approach to coffee craftsmanship. Founded in 1987, this beloved franchise has earned a stellar reputation for its commitment to fresh-roasted coffee, with beans roasted daily in small batches right in their stores – a distinctive feature that sets them apart from larger chain competitors.

The franchise offers an inviting, community-focused atmosphere that combines the warmth of a neighborhood coffee house with the efficiency of modern operations. Each location features comfortable seating arrangements, workspaces with plenty of outlets, and often includes meeting rooms and outdoor patios, making it ideal for both casual visitors and business professionals.

Beyond their exceptional coffee program, Dunn Brothers has developed a comprehensive menu including made-to-order breakfast and lunch items, freshly baked goods, and innovative beverage options like their signature Infinite Black cold press coffee. Their food offerings are crafted with the same attention to quality as their coffee, earning praise for fresh ingredients and house-made preparations.

What truly distinguishes Dunn Brothers is their dedication to customer service and community engagement. Franchisees and staff are known for their coffee expertise and friendly, welcoming approach to customer service. The brand maintains a strong local presence in each market, often hosting community events and supporting local artists and businesses.

For entrepreneurs passionate about premium coffee and community building, Dunn Brothers offers a proven business model that emphasizes quality, authenticity, and customer experience over mass production and standardization.
  • 37 years operational experience since 1987
  • Sustainable bean sourcing focus
  • 87% above sub-sector average revenue performance
  • Comprehensive rewards app with personalized offers
  • Drive-thru locations available at select sites
  • Established Midwest market presence across 6 states

Location Analysis

Where Dunn Brothers Coffee wins

Dunn Brothers Coffee maintains a concentrated Midwestern presence across multiple states, showing strong regional brand recognition. The franchise demonstrates particular strength in Minnesota as its primary market, with notable presence in Wisconsin, Iowa, and North Dakota. This geographic concentration has enabled efficient supply chain management and strong brand awareness within its core markets.

The franchise's impressive average rating across thousands of customer reviews indicates consistent service quality and strong market acceptance, particularly in its Minnesota heartland. This performance suggests successful adaptation to local market preferences and effective operational practices in the competitive Midwest coffee segment.

Ideal locations for Dunn Brothers typically feature high-traffic areas in mid-sized to large Midwestern cities, particularly near business districts, universities, or suburban retail centers. The brand's strongest performance is in markets that value artisanal coffee experiences and maintain strong community connections.

Significant expansion opportunities exist in adjacent Midwestern states, particularly in underserved markets with similar demographics to successful existing locations. The concentrated regional presence suggests potential for infill development in current markets while gradually expanding outward from its core territory.
Total US locations
52
Franchise units
49
Corporate locations
3
Avg. sq. footage
N/A

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Financial Analysis

The numbers behind Dunn Brothers Coffee

Avg gross revenue$576,073
Investment range$539,600 – $808,960
Investment midpoint$674,280
Brand fund3%
Royalty5%
Franchise fee$40,000
Min. net worth
Min. liquid capital
Dunn Brothers Coffee requires a $539,600-$808,960 total investment, positioning it as a premium coffee franchise opportunity. This investment level sits significantly above sub-sector averages ($296,954-$610,306), reflecting the brand's focus on sustainable, specialty coffee operations rather than entry-level concepts.

The coffee and tea sector continues experiencing robust growth driven by evolving consumer preferences toward premium, ethically-sourced beverages. Dunn Brothers' emphasis on sustainable bean sourcing aligns with demographic trends favoring environmentally conscious brands, particularly among millennials and Gen Z consumers.

With 52 units and 37 years of operation since 1987, the franchise demonstrates operational stability while maintaining a boutique scale that may offer stronger territorial protection and reduced market saturation compared to major coffee chains.

The system's reported gross revenue of $576,073 substantially exceeds sub-sector averages ($307,288), suggesting effective operational systems and strong unit-level performance. The brand operates primarily across six Midwest states, with Minnesota representing the largest concentration of locations.

The franchise offers modern conveniences including a comprehensive rewards app system and drive-thru locations at select sites. Prospective franchisees should conduct thorough due diligence through the FDD, particularly regarding territory rights and market demographics in their target areas.
Did you know? Did you know that starting your own Dunn Brothers Coffee franchise - known for their fresh-roasted, artisanal coffee and cozy neighborhood coffeehouse atmosphere - requires a total investment between $539,600 and $808,960, which includes the $40,000 franchise fee plus all the startup costs needed to bring this beloved Minnesota-born coffee experience to your community?

Financing partners

Vetted partners, tailored to franchisees

Your Franzy advisor can connect you with these partners later in the process — competitive rates, specialized in franchise financing.

FranFund

Lender

CRF USA

Nonprofit SBA lender; provides financing for franchise acquisitions, startups, and expansion.

Lender

First Bank of the Lake

Lender

Pension Pros

Lender

FDD Item 7

Initial investment range

$540K–$809K
Most common
$539,600
Minimum
$674,280
Midpoint
$808,960
Maximum

Per FDD Item 7, total initial investment ranges from $539,600 to $808,960. The midpoint $674,280 is what most franchisees report at signing — financing typically reduces cash-at-close by 80–90%. Knowing the investment range helps you plan confidently and ensure you're fully prepared to make the leap.

FDD Item 19

Average gross sales

$800K$640K$480K$320K$160KN/A
$619K
$631K
$576K
2022
2023
2024
Avg
$609K
YOY change (2023 -> 2024)
-9%

According to Item 19 of the Franchise Disclosure Document, Dunn Brothers Coffee has an average gross revenue of $576K. (Note: This information is based on the latest FDD in our records. Please review the Franchise Disclosure Document (FDD) and confirm this information directly with the brand. We make no claims of accuracy for the information presented.)

Growth over time

Franchise footprint

-7% YoY
100806040200
2017
2018
2019
2020
2021
2022
2023
2024
52 units open as of 2024 FDD-4 in last 12 mo

2024 Franchise Disclosure

FDD documents

Below are items 2, 3, 4, 7, 11 and 19 for Dunn Brothers Coffee's 2024 FDD. The complete FDD is delivered to you directly by the franchisor, per the FTC Franchise Rule.

Estimated initial investment
FDD Item 7 · PDF
Financial performance representations
FDD Item 19 · PDF
Members-only items
Executive team
FDD Item 2 · PDF
Litigation
FDD Item 3 · PDF
Bankruptcy
FDD Item 4 · PDF
Franchisor assistance
FDD Item 11 · PDF
Members only
Unlock the 2024 FDD

Connect to download Items 2, 3, 4, and 11 — direct from the franchisor.

Buyer FAQs

Frequently asked questions

The initial investment for a Dunn Brothers Coffee franchise typically ranges between $539,600.00 and $808,960.00. This includes the franchise fee, equipment, real estate, and other startup costs. To get a detailed breakdown and better understand the financial requirements, we recommend scheduling a call with the Franzy team. We'll walk you through the specifics and answer any questions you might have. For more detailed information, refer to the financial sections of the FDD.

Disclaimer. The information provided on this page is based on the latest Franchise Disclosure Document (FDD) that is publicly available and that we have on record, which was issued in 2024. This information is for informational purposes only and is not intended to constitute legal, financial, or business advice. We make no guarantees or claims regarding the completeness or accuracy. For the most current and detailed information, we recommend consulting the franchisor directly for the most recent FDD and regarding any questions that you may have about the information provided.

Dunn Brothers Coffee
Dunn Brothers Coffee
$576K avg revenue · 49+ US franchises

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