Earthtimes:

The coffee franchise industry is growing and diversifying, according to new research by Franchise Direct. Following an exhaustive study of more than 29 Franchise Disclosure Documents, Franchise Direct has learned that coffee franchises are poised to profit as other business models struggle to cope with the economic downturn.

The coffee franchising sector is recession-resistant and an integral part of American lifestyle — these were the findings of a recent Franchise Direct study of the coffee franchise industry. After examining the FDD/UFOC documents of 29 coffee franchises, Franchise Direct has found that this $11 billion industry, after weathering a slight dip at the start of the recession, is growing and diversifying, and thus presenting real opportunities for the future.

At the moment, the coffee shop industry is extremely competitive at the top and fragmented at the bottom. Starbucks, despite its recent struggles, continues to be the industry leader, with over 10,000 cafes around the world. Because of competition from fast food restaurants and convenience stores, coffee franchises, with their established brand identity, continue to be a reliable investment for those seeking to profit from this incredibly popular beverage.

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