Prime Rate:6.75%Fed Funds:3.64%5-Yr Treasury:3.88%10-Yr Treasury:4.25%30-Yr Treasury:4.83%30-Yr Mortgage:6.22%·Updated Mar 19, 2026Prime Rate:6.75%Fed Funds:3.64%5-Yr Treasury:3.88%10-Yr Treasury:4.25%30-Yr Treasury:4.83%30-Yr Mortgage:6.22%·Updated Mar 19, 2026
Rates
2026 FDD VERIFIEDCoffee, Tea, & Drinks
Haraz Coffee House

Haraz Coffee House

Franchising since 2021 · 31 locations

The total investment to open a Haraz Coffee House franchise ranges from $349,500 - $517,705. The initial franchise fee is $50,000. Ongoing royalties are 4% plus a 3% advertising fee. Haraz Coffee House currently operates 31 locations. Data sourced from the 2026 Franchise Disclosure Document.

Investment

$349,500 - $517,705

Franchise Fee

$50,000

Total Units

31

FPI Score

This franchise has not yet been scored by the Franchise Performance Index. Scores are calculated based on public FDD data, SBA loan performance, and system-level metrics.

What is the Haraz Coffee House franchise?

The Haraz Coffee House franchise presents a compelling opportunity within the dynamic and ever-expanding specialty coffee market, distinguishing itself through a profound commitment to authentic Yemeni coffee culture and a meticulously crafted customer experience. Founded by visionary entrepreneur Hamzah Nasser, the brand first opened its doors in Dearborn, Michigan, in 2021, quickly establishing a unique niche by offering more than just coffee; it delivers an immersive cultural journey with every cup. This dedication to tradition, coupled with a modern business approach, positions the Haraz Coffee House franchise as a pioneering force in an industry often characterized by homogenization. The brand’s initial success in key markets like Michigan, California, and Texas underscores its broad appeal and the growing consumer appetite for distinctive, high-quality coffee experiences. The foundational ethos revolves around sourcing premium Yemeni coffee beans, renowned for their rich flavor profiles and historical significance, ensuring a product that stands apart. This focus on provenance and preparation excellence is integral to the Haraz Coffee House franchise identity, attracting a diverse clientele seeking both exceptional taste and a deeper connection to their beverage. The strategic market entry and subsequent expansion reflect a robust operational framework, designed to replicate the authentic Haraz experience across multiple locations while maintaining stringent quality controls. The brand’s emphasis on community building and creating inviting spaces further enhances its market position, fostering loyalty among patrons who appreciate the blend of heritage and hospitality. The decision to embark on a franchise model signifies a readiness to scale this unique concept, inviting passionate entrepreneurs to join a brand that is not merely selling coffee but perpetuating a rich cultural legacy through its expertly brewed offerings. The story of the Haraz Coffee House franchise is one of cultural celebration, entrepreneurial drive, and a commitment to delivering an extraordinary coffee experience that resonates deeply with today's discerning consumers.

The contemporary coffee industry offers a robust landscape for the Haraz Coffee House franchise, characterized by sustained growth and evolving consumer preferences, representing a multi-billion dollar sector globally. This expansive market is driven by increasing demand for high-quality, ethically sourced, and specialty coffee products, a trend perfectly aligned with the Haraz Coffee House franchise's core offerings. Consumers are increasingly seeking differentiated experiences beyond conventional coffee shop models, gravitating towards brands that offer unique flavor profiles, a strong brand narrative, and a commitment to authenticity. The specialty coffee segment, in particular, has demonstrated remarkable resilience and growth, consistently outperforming general food service trends. Factors contributing to this upward trajectory include a rising disposable income among key demographics, an expanding coffee culture across various age groups, and a heightened awareness of coffee origins and preparation methods. The market is also experiencing a shift towards more artisanal and experiential consumption, where the environment, service, and story behind the coffee are as important as the beverage itself. This creates a fertile ground for the Haraz Coffee House franchise, which intrinsically offers a distinctive cultural experience through its Yemeni coffee specialization. The industry also benefits from consistent innovation in brewing technologies, customizable drink options, and the integration of digital ordering and loyalty programs, all of which enhance customer engagement and operational efficiency. The robust nature of the coffee market, coupled with its capacity for continuous evolution, provides a stable and promising environment for new franchise units to thrive. The Haraz Coffee House franchise is strategically positioned to capitalize on these macro-economic and consumer trends, offering a compelling value proposition that caters to the modern coffee connoisseur while honoring ancient traditions. The demand for unique global flavors and culturally rich experiences continues to grow, ensuring a receptive market for the Haraz Coffee House franchise model.

Embarking on the journey to establish a Haraz Coffee House franchise necessitates a comprehensive financial commitment, reflecting the investment required to launch a premium, culturally rich coffee establishment. While specific figures are typically detailed within the Franchise Disclosure Document, potential franchisees should anticipate a multi-faceted investment structure covering various essential components. The initial franchise fee represents the upfront cost for securing the rights to operate under the Haraz Coffee House brand, gaining access to its proprietary systems, trademarks, and initial training programs. This fee typically varies based on factors such as market size and territory specifics, underscoring the value of joining an established system. Beyond this initial fee, a significant portion of the total investment is allocated to the build-out and leasehold improvements of the physical location, ensuring the space aligns with the distinctive aesthetic and functional requirements of a Haraz Coffee House franchise. This includes architectural design, construction, and interior decor that evokes the authentic Yemeni cultural experience. Equipment costs constitute another substantial element, encompassing state-of-the-art espresso machines, grinders, brewing equipment, refrigeration units, point-of-sale systems, and other operational necessities crucial for a high-volume coffee shop. Inventory, including premium Yemeni coffee beans, milk, syrups, food items, and branded merchandise, requires an initial investment to ensure a fully stocked operation from day one. Additionally, franchisees must account for initial marketing expenses to effectively launch and promote their new Haraz Coffee House franchise within its designated market, building immediate brand awareness and driving customer traffic. Working capital is also a critical consideration, providing the necessary funds to cover initial operating expenses such such as rent, utilities, payroll, and supplies for the first several months of operation, ensuring financial stability until the business achieves self-sufficiency. This comprehensive approach to investment ensures that each Haraz Coffee House franchise is well-capitalized and positioned for long-term success, ready to deliver the exceptional customer experience synonymous with the brand.

The operational model for a Haraz Coffee House franchise is meticulously designed to ensure consistency, efficiency, and the authentic delivery of its unique Yemeni coffee experience across all locations, supported by a robust framework of assistance. Franchisees receive comprehensive initial training, typically encompassing both classroom instruction and hands-on experience, covering all facets of daily operations from expert coffee preparation techniques to customer service protocols and business management. This intensive program equips new owners and their teams with the knowledge and skills required to uphold the high standards of the Haraz Coffee House franchise. Beyond initial training, franchisees benefit from ongoing operational support, including access to detailed operational manuals, proprietary recipes, and best practices developed by the franchisor. This continuous guidance helps navigate challenges and optimize performance throughout the lifecycle of the business. A key component of the support structure includes assistance with supply chain management, ensuring franchisees have access to the unique, high-quality Yemeni coffee beans and other essential ingredients at competitive prices, maintaining product integrity. The franchisor often provides support for site selection and lease negotiation, leveraging its experience to identify optimal locations with strong demographic profiles and high foot traffic. Marketing and advertising support are also integral, with centralized initiatives to promote the Haraz Coffee House brand at a broader level, complemented by guidance for local marketing strategies tailored to specific territories. Technology integration, such as sophisticated point-of-sale systems, inventory management software, and customer loyalty programs, streamlines operations and enhances the customer experience. This comprehensive support system allows Haraz Coffee House franchise owners to concentrate on delivering exceptional service and fostering community engagement, confident in the backing of an experienced and dedicated franchisor. The goal is to empower franchisees to successfully replicate the distinctive Haraz Coffee House ambiance and product quality, ensuring a consistently superior experience for every customer.

The financial performance potential of a Haraz Coffee House franchise is intrinsically linked to its unique value proposition and the robust demand for specialty coffee, though specific historical earnings are typically disclosed exclusively within the Franchise Disclosure Document (FDD), specifically in Item 19. This crucial section provides prospective franchisees with detailed insights into the financial results of existing units, offering transparency regarding average gross sales, cost structures, and potential profitability metrics. While generalized revenue figures are not publicly provided, a Haraz Coffee House franchise operates within an industry known for strong revenue streams, driven by repeat customer visits and a diverse product offering. The business model benefits from multiple income avenues, primarily through the sale of its signature Yemeni coffee beverages, including espresso-based drinks, pour-overs, and traditional preparations. Complementary revenue streams often include the sale of specialty teas, pastries, light food items, and branded merchandise such as coffee beans, brewing equipment, and apparel, all contributing to a higher average transaction value. The high-margin nature of many coffee products, particularly specialty beverages, suggests favorable profitability potential, contingent upon efficient operational management, effective cost controls, and strong sales volume. Factors influencing individual unit performance include location demographics, local marketing effectiveness, operational efficiency, and the franchisee's dedication to upholding brand standards and customer service excellence. The recurring revenue model, where customers frequent their preferred coffee shop multiple times a week, provides a stable and predictable income base, fostering long-term financial viability. An FDD's Item 19 typically presents various financial scenarios, such as average unit sales, gross profits, and sometimes even net income for a subset of franchisees, allowing potential investors to make informed projections. While precise numbers for a Haraz Coffee House franchise are reserved for that official document, the underlying industry dynamics and brand differentiation point towards a promising financial outlook for committed franchisees who effectively execute the proven business model.

The Haraz Coffee House franchise is poised for significant growth, leveraging its unique brand identity and the expanding market for specialty coffee to establish a strong national and potentially international footprint. With an existing presence thoughtfully established in key states such as Michigan, California, and Texas, the brand has demonstrated its ability to resonate across diverse geographic and demographic landscapes. This initial expansion provides a solid foundation for future growth, showcasing the adaptability and broad appeal of the Haraz Coffee House franchise concept. A primary competitive advantage stems directly from its specialization in authentic Yemeni coffee, a distinctive offering that sets it apart from more generalized coffee chains. This focus on a niche, high-quality product cultivated through a rich cultural heritage appeals to discerning consumers actively seeking unique and premium experiences. The market for coffee is vast, yet the segment for truly differentiated, culturally authentic coffee remains less saturated, presenting significant whitespace for the Haraz Coffee House franchise to capture. Moreover, the brand's commitment to creating an inviting, community-focused ambiance further enhances its competitive edge, fostering customer loyalty and repeat business. In an industry where many competitors rely on scale and rapid commoditization, the Haraz Coffee House franchise prioritizes quality, cultural immersion, and personalized service, which translates into a highly differentiated customer experience. The strategic decision to grow through franchising allows for accelerated market penetration, enabling the brand to expand its reach efficiently while empowering local entrepreneurs. This model combines the benefits of a proven system with the localized dedication of owner-operators. The ongoing evolution of consumer tastes towards artisanal products and experiential retail environments further solidifies the growth trajectory for the Haraz Coffee House franchise. The brand is well-equipped to capitalize on these trends, offering a compelling investment for those looking to enter a flourishing sector with a truly unique and appealing product.

The ideal candidate for a Haraz Coffee House franchise embodies a blend of entrepreneurial spirit, a profound passion for coffee culture, and a commitment to operational excellence. While specific qualifications may vary, prospective franchisees typically possess strong business acumen, demonstrating an understanding of financial management, marketing, and team leadership. Experience in the food service or

Key Highlights

Data Insights

Key performance metrics for Haraz Coffee House based on SBA lending data

Investment Tier

Significant investment

$349,500 – $517,705 total

Payment Estimator

Loan Amount$280K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$3,618

Principal & Interest only

Locations

Haraz Coffee Houseunit breakdown

Total Units
N/A
Franchisee Owned
System Owned
Closed

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Haraz Coffee House