How to Finance an Ellianos Coffee Franchise: Drive-Thru Only
By Marc Cornella
An Ellianos Coffee franchise loan finances a compact, drive-thru-only coffee stand rather than a sit-down cafe. Ellianos builds its stores around speed, with no dining room and a double-sided drive-thru, so the money goes mostly into a small building, a site with good traffic flow, espresso and blending equipment, and the cash to open.
US Professional Funding is not affiliated with, sponsored by or endorsed by Ellianos Coffee; the name is used only to describe the business. Figures from the franchisor’s disclosure document and website can change, loan programs and terms vary by lender and borrower, and every loan is subject to lender review and approval. Nothing here is legal, tax or investment advice, so review the current Franchise Disclosure Document (FDD) and franchise agreement with a qualified franchise attorney and accountant.
Ellianos Coffee Franchise Loan at a Glance
- Founded: 2002 in Lake City, Florida, as a family-owned drive-thru coffee company.
- Format: drive-thru-only stores with a double-sided drive-thru, starting at 800 square feet, according to the company’s franchising page.
- Initial franchise fee: $25,000, according to the company’s own website.
- Royalty: 6% of sales, based on the 2024 FDD as summarized on the company’s franchise page.
- Brand Fund: 1.25%, from the same source.
- Estimated initial investment: not published on the franchise page; use the Item 7 table in the current FDD.
- Net worth and liquidity requirements: not published; confirm with the franchisor.
- Available territories: Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee and Texas.
- SBA Franchise Directory: listed as Ellianos Coffee Company under code S0543, with no additional notes.
What Is Ellianos Coffee?
Ellianos Coffee was founded in 2002 by Scott and Pam Stewart, with help from their son Rob and his wife Ellie. The Stewarts were inspired by specialty drive-thru coffee stands they saw on trips to the Pacific Northwest and brought the idea home to Lake City, Florida, where the first store opened. The founders still lead the company, which describes itself as a family-owned drive-thru coffee chain serving the Southeast.
The menu is built for quick service: hot and iced espresso drinks, cold brew, blended frozen coffee drinks the company calls Freezers, smoothies, seasonal specials and a build-your-own energy drink option.
Why the format matters to lenders. A drive-thru-only store has a small footprint, a short menu and a simple staffing model, which keeps the investment focused. On the other hand, a store with no dining room depends heavily on location, visibility and stacking room for cars. Lenders will study the site as closely as the borrower.
Ellianos Coffee Franchise Costs
Initial franchise fee. Ellianos states on its own website that the franchise fee is $25,000, paid on top of the rest of the initial investment. Item 5 of the current FDD confirms when it is due and any refund terms. Lenders usually expect the fee to come from equity or include it in an SBA 7(a) loan.
Site, building and real estate. Because stores are drive-thru only and start at 800 square feet, they typically sit on a small pad or outparcel. Depending on the deal, a franchisee may lease the land and building, ground lease the land and build, or buy the property. Paving, curb cuts, utilities and drive lanes can be a significant cost. Our article on financing franchise real estate explains the options.
Equipment. A drive-thru coffee store needs commercial espresso machines, grinders, blenders, ice machines, refrigeration, brewing equipment, drive-thru communication headsets and order screens, a point-of-sale system and exterior menu boards.
Opening costs and working capital. Opening inventory of coffee, dairy, syrups and cups, training, grand opening marketing, insurance, permits and funds to carry payroll through the first months are part of the initial investment.
Total investment. The Item 7 table in the FDD lists the estimated range for each category and a total. When you review it, look for:
- Initial franchise fee ($25,000)
- Land, building or lease costs and site work
- Construction and leasehold improvements
- Coffee, blending and refrigeration equipment
- Drive-thru technology, point-of-sale system and signage
- Opening inventory and supplies
- Training expenses, insurance, licenses and permits
- Grand opening marketing
- Additional funds for the stated initial period
Confirm whether the Item 7 range includes buying land or assumes a lease, since that changes the total and the loan structure.
Ongoing Fees and How They Affect Your Loan
Royalty. The company’s franchise page, drawing on the 2024 FDD, uses a 6% royalty rate.
Brand Fund. The same source uses a 1.25% Brand Fund rate.
Other fees. Item 6 of the FDD lists any technology fees, local marketing requirements, transfer and renewal fees, and training fees for additional staff.
How lenders factor these costs in. Together, royalty and Brand Fund take 7.25% of sales before rent, coffee and dairy costs, labor or loan payments. A lender will subtract these fees in its projections and then test whether the remaining cash flow covers debt service with room to spare.
Franchisor Requirements for New Owners
Ellianos does not publish minimum net worth or liquid capital figures on its franchise page. Ask during the discovery process, and expect the franchisor to review your finances, experience and the market you want to develop.
Lenders add their own standards: documented funds for the equity injection plus reserves, solid personal credit, and food service, retail or business management experience. A plan showing who will run the store day to day strengthens any request.
Ways to Own an Ellianos Coffee
A new store. Most buyers open a new location in one of the available territories. The loan finances site work, the building or lease improvements, equipment, the franchise fee and working capital, and is underwritten on projections. See our page on franchise start-up financing.
Buying an existing store. If an operating Ellianos store comes up for sale, a buyer can finance the purchase using the store’s actual sales and tax returns, subject to franchisor approval of the transfer. Our article on buying a coffee shop covers what to evaluate.
Multiple stores. Owners who want to develop a market may sign for more than one location. Financing is typically arranged store by store as each one is built.
Financing Options for an Ellianos Coffee Franchise
SBA 7(a) loans. With Ellianos on the SBA Franchise Directory, an SBA 7(a) loan can combine the franchise fee, equipment, construction, working capital and, in some cases, real estate in a single loan.
SBA 504 loans. When a franchisee buys the land and builds the store, the SBA 504 program can finance owner-occupied real estate and long-lived equipment. A small freestanding drive-thru on owned land can be a natural fit.
Conventional term loans. Borrowers with strong credit, collateral and experience may use a conventional business loan, particularly when adding stores.
Equipment financing. Espresso machines, grinders, blenders, ice machines and drive-thru technology can be financed or leased separately. Learn more about restaurant equipment financing and leasing.
Working capital and lines of credit. Coffee sales can shift with weather, with iced and frozen drinks leading in hot months and hot drinks in cooler ones. A reserve or line of credit helps cover payroll and supplies during the ramp-up and any slower stretches. See our restaurant working capital options.
Seller financing on resales. A seller may agree to carry part of the price on an existing store. Seller notes are typically subordinate to the senior loan, and SBA and other programs may limit how they are structured.
SBA Loans for Ellianos Coffee Franchisees
SBA lenders generally require a franchise brand to appear on the SBA Franchise Directory before they make an SBA-guaranteed loan to one of its franchisees. A listing means the franchise relationship has been reviewed for SBA eligibility; it does not approve any borrower.
Ellianos’s listing. Ellianos Coffee Company appears on the directory under code S0543 with no additional notes. In plain terms, no brand-specific conditions are flagged, so the lender can follow standard SBA franchise procedures.
Program limits. The SBA 7(a) program maximum is currently $5 million, and program rules can change.
Application tips. Prepare the FDD, franchise agreement, site documents such as a letter of intent, ground lease or purchase contract, construction bids, equipment quotes, tax returns, a personal financial statement and a business plan. Our SBA loan calculator can help with early payment estimates for planning only.
How Lenders Evaluate an Ellianos Coffee Deal
Personal credit and financial history. Expect a credit review, personal tax returns and a personal guarantee.
Net worth and liquidity. Lenders want the equity injection from documented funds, with reserves left after closing.
Industry and management experience. Food service, coffee or retail management experience helps, as does a clear staffing plan for early morning shifts.
Business plan and projections. Projections should reflect morning commuter traffic, average ticket, cars per hour through the drive-thru, coffee and dairy costs, labor and the 7.25% in royalty and Brand Fund.
The FDD and franchise agreement. Lenders review Items 5, 6, 7 and 17, plus territory protections. The company’s franchise page notes that the 2024 FDD includes financial performance information in Item 19; review it with your advisors and rely on the full disclosure rather than summaries.
Site, lease or real estate. For a drive-thru-only store, lenders look at access, visibility, stacking room for cars and the lease or ground lease term, which should generally match or exceed the loan term.
Historical financials for resales. For an existing store, provide several years of profit and loss statements, sales reports and tax returns.
The Drive-Thru Building and Site
The store’s small footprint keeps construction focused, but the site does much of the work. A double-sided drive-thru needs room for two lanes, safe entry and exit, and enough stacking so cars do not back up into the road. Zoning approvals, traffic studies and utility connections can add time and cost, so build them into your budget and timeline before you sign a lease or purchase contract.
Multi-Unit Growth and Development Agreements
Ellianos is expanding across a defined list of Southeastern and South Central states, which can suit owners who want to build a cluster of stores in one market. Once the first store has operating history, lenders can underwrite its cash flow alongside projections for the next. If you sign a development commitment, plan how each store will be funded before the schedule begins. Our article on financing an area development agreement explains the process.
Real-World Scenarios
A first-time owner on a leased pad. A former restaurant manager leases a pad site near a busy commuter route and uses an SBA 7(a) loan for site work, the building, equipment, the franchise fee and working capital.
An investor-operator who buys the land. An owner purchases an outparcel and builds the store using SBA 504 financing for the real estate, with equipment financed separately.
A buyer acquiring an operating store. A buyer purchases an existing store from its founder. The lender reviews tax returns and sales reports, Ellianos approves the transfer, and a seller note covers part of the price.
An owner adding a second store. After two years, an owner uses the first store’s results to support a conventional loan for a second location in a nearby town.
Common Mistakes to Avoid
- Choosing a site without enough stacking room for a double-sided drive-thru
- Underestimating site work, paving and utility costs
- Not confirming whether Item 7 assumes leased or owned real estate
- Leaving out the 7.25% in royalty and Brand Fund from projections
- Starting construction before financing and franchisor approvals are in place
- Keeping too little working capital for the ramp-up period
For more pitfalls, read the restaurant loan mistakes that cost owners the most.
Next Steps to Finance Your Ellianos Coffee Franchise
Step 1: Request and review the FDD. Study Items 5, 6, 7, 10, 17 and 19 with a franchise attorney and accountant.
Step 2: Confirm territory and requirements. Check that your market is in an available territory and ask about net worth and liquidity expectations.
Step 3: Talk with a financing specialist. Compare SBA 7(a), SBA 504 and conventional options before choosing a site.
Step 4: Secure a site. Gather the letter of intent, ground lease or purchase contract, zoning information and construction bids.
Step 5: Build your business plan. Create projections that reflect drive-thru traffic, local competition and every franchise fee.
Step 6: Apply for financing. Submit your loan package and coordinate timing with the franchise agreement and construction schedule.
Step 7: Close and open. Keep working capital in reserve for training, hiring and the first months of operation.
Ellianos Coffee Franchise Loan FAQs
How much does an Ellianos Coffee franchise cost?
The total investment is listed in Item 7 of the current FDD and depends heavily on whether you lease or buy the site. The franchise fee alone is $25,000, according to the company’s website.
What is the Ellianos franchise fee?
Ellianos states that its franchise fee is $25,000, paid in addition to the rest of the initial investment.
What royalty does Ellianos charge?
The company’s franchise page, based on its 2024 FDD, uses a 6% royalty and a 1.25% Brand Fund. Confirm the current rates in Item 6.
How big is an Ellianos store?
Stores are drive-thru only, with a double-sided drive-thru, starting at 800 square feet.
Can I get an SBA-backed Ellianos Coffee franchise loan?
Yes, if you qualify. Ellianos Coffee Company is listed on the SBA Franchise Directory under code S0543 with no additional notes, and every loan remains subject to lender approval.
Can I use an SBA 504 loan to buy the land?
If you will own and occupy the real estate, an SBA 504 loan may finance the land and building, with other costs covered separately.
How much liquid capital do I need?
Ellianos does not publish a minimum on its franchise page. Lenders will expect documented funds for the equity injection plus reserves, and the franchisor may set its own requirement.
Can a first-time owner get an Ellianos Coffee franchise loan?
Yes, if the franchisor approves you and you meet lender standards. Management experience, good credit and reserves strengthen the request.
Does Ellianos offer financing?
Review Item 10 of the FDD, which discloses any franchisor financing. Most buyers arrange their own loans.
How long is the franchise term?
The term and renewal conditions are in Item 17 of the FDD. Lenders generally want the remaining term to cover the life of the loan.
Final Thoughts
Ellianos Coffee offers a focused, drive-thru-only format with a published $25,000 franchise fee and clear royalty and Brand Fund rates. A strong Ellianos Coffee franchise loan request starts with the right site, a realistic construction budget, a clear choice between leasing and owning the real estate, and enough working capital to carry the store through opening.
US Professional Funding helps franchise owners and buyers finance start-ups, acquisitions, real estate, equipment and working capital. Learn more about our franchise financing and restaurant financing solutions.
