Caribou Coffee: Elevating the Coffeehouse Experience Since 1992

Caribou Coffee began its journey in December 1992 when founder John Puckett opened the first location in Edina, a suburb of Minneapolis, Minnesota. Over the years, it has grown into a well-known premium coffeehouse brand.

Now headquartered in Brooklyn Center, Minnesota, Caribou Coffee launched its franchising initiative in 2004, which paved the way for the brand’s expansion across the U.S. and into global markets.

Its menu spans more than just coffee, featuring a wide range of beverages including teas, as well as fresh food items like sandwiches, bagels, and pastries—all made with attention to quality.

What sets Caribou Coffee apart is its commitment to sustainability and ingredient integrity. The brand exclusively uses 100% Rainforest Alliance Certified coffee beans and real, recognizable ingredients such as chocolate chips and caramel, highlighting its dedication to offering products customers can feel good about.

Training

Caribou Coffee provides comprehensive training programs to franchisees, emphasizing operational excellence and consistency across locations. Here are the main training types offered by the Franchisor:

1. Certified General Manager Training Program
   Franchisees must appoint at least one individual, approved by the franchisor, to be trained as a Certified General Manager. This person oversees daily operations and personnel training at the Coffeehouse and must successfully complete the Certified General Manager Training Program. Training occurs at the designated training center or a certified Coffeehouse, and the franchisee bears all related expenses including travel and compensation.
2. Initial Management Training
   The Operating Owner and Certified General Manager, along with other approved individuals, are required to attend and successfully complete an initial training program. This program is conducted at the franchisor’s headquarters or another designated location. A non-refundable fee of $600 is charged for participation in this training.
3. Ongoing Training and Web-Based Programs
   Franchisees may be required to send staff to additional training seminars and enroll employees in web-based training related to the products and services offered. These may be conducted at different locations and times as specified by the franchisor, with all associated costs borne by the franchisee.
4. On-Site and Refresher Training
   Additional on-site training can be requested by the franchisee or required by the franchisor in response to performance assessments like mystery shopper visits. These sessions also come at the expense of the franchisee and are aimed at addressing specific operational needs.

Territory Protection

Caribou Coffee may offer territory protection to its franchisees, but it is not guaranteed. Under the Franchise Agreement, a franchisee has the right to operate a Coffeehouse at a specific, accepted location. Whether or not a Protected Territory is granted depends on various factors, including nearby business characteristics, demographics, and local trade area conditions.

If a Protected Territory is granted, Caribou Coffee agrees not to open or allow others to open another Coffeehouse within that territory during the term of the agreement, as long as the franchisee complies with all obligations.

However, Caribou retains extensive rights, including the ability to operate in non-traditional facilities like airports and schools within the territory, and to sell through alternative channels such as e-commerce. This means franchisees do not receive exclusive territory rights and may still face competition from the franchisor or its affiliates.