They Borrowed $40,000 From Friends and Family to Open a Coffee Kiosk - Now Their Franchise Is Worth $1 Billion

"Scooter's Coffee has grown to 912 locations across 32 states, with franchises generating $859 million in sales last year. The franchise model is highly profitable, with nearly all costs managed by franchisees."

"The Eckles' holding company enjoys an estimated 62.5% net margin, while top franchisees achieve net income margins exceeding 20%. This financial success has led to significant interest in acquiring the company."

Don and Linda Eckles initially borrowed $40,000 from friends and family to open a coffee kiosk in Omaha. They worked every shift for four months and expanded after breaking even. By the fifth store, they borrowed $150,000 for construction, which nearly bankrupted them. In 2001, they began franchising at the request of customers. Now, Scooter's Coffee has 912 locations across 32 states, generating $859 million in sales, with a franchise model yielding a 62.5% net margin.

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