Based on 3800 franchisees, the average Tim Hortons store owner pockets $265,558 and more (after tax & interest)! For example, in 2002 an average Tim Horton’s franchise earned the following:
- Gross earning: $1.5Million before interest and taxes
- Net earnings: $174,280 after taxes and overhead expenses.
By 2008, an average Tim Hortons franchisee earned a net profit of $265,000 after taxes and expenses. However, Tim Hortons franchisees in Saskatchewan were even more lucrative, with a net profit of almost $400,000!
The revenue has only increased each year and in 2022 the gross and net earnings have risen like a rocket.
How much does a Tim Hortons franchise cost to open?
Prospective franchise owners need $60,000 in capital to start their own donut shop. $25,000 of that money goes towards the franchise fee that gives you the rights to open a Tim Hortons. Looking further into the details, you’ll need to invest $298,650 overall by raising funds from banks and other means. Depending on the location, you may need even up to $1,394,000 at maximum to open your own shop.
Now, does your heart feel itchy, and would you like to become an owner of the Tim Hortons franchise?