Coffee businesses offer more than just a caffeine fix—they provide convenience for teens, tired parents, busy workers, and social seniors. Many coffee aficionados enjoy the convenience of picking up a hot brew on the run, while others view coffee shops as a refuge to sip and relax. No matter what drives people to purchase a cup of joe, coffee businesses continue to percolate across the United States in traditional brick-and-mortar shops and mobile coffee trucks, like Travelin’ Tom’s.

A Breakdown of the Coffee Market

Brick-and-mortar coffee shops comprise the bulk of the U.S. coffee shop market, at a value of $49.5 billion, posting an 8% year-over-year growth as of late 2024, according to Toast POS. Today, the number of coffee shops across the nation has surpassed 40,000, 7% higher than the number open during pre-pandemic levels.

The major players in the brick-and-mortar coffee business include Starbucks and Dunkin’ Donuts. Data from the World Coffee Portal suggests that Starbucks accounts for 40% of the market, followed by Dunkin’ at 26%, and Dutch Bros, which is rapidly expanding, at 3%. Despite this concentration at the top, the remaining market share is fragmented.

You may have noticed more coffee trucks on the road or coffee kiosks serving up beverages at your local stadium. Now valued at $1.16 billion, mobile coffee trucks are projected to grow 6.4% through 2030, according to Grand View Research. A successful coffee truck can generate between $14,000 and $21,000 in monthly revenue and sell between 200 and 300 cups of coffee per day. Although they don’t yet make as much as brick-and-mortar stores, mobile coffee trucks earned $4.67 million in 2023 and are projected to earn $7.95 million by 2031, according to Verified Market Research.

While brick-and-mortar coffee shops dominate the market, mobile coffee trucks may offer owners higher profit margins and lower start-up costs, making them attractive to entrepreneurs seeking flexibility and lower initial investment, according to Perfect Daily Grind. 

The Pitfalls of Starting a Coffee Business

Opening and sustaining any business is a grind, and that’s also true in the coffee business. Whether you invest in a permanent location or a mobile unit, you’ll need to cover start-up costs and overhead expenses and get the appropriate permits. Unless you plan on working every shift, you’ll also need to hire and pay employees.

New coffee businesses can expect to face stiff competition. Not only will you go head-to-head with giants Starbucks and Dunkin’ Donuts, but you’ll also compete with local coffee shops, restaurants, and gas stations.

Still, opportunities are available for ambitious entrepreneurs, and with the right business plan, launching a coffee business can be a solid investment.

Consider Starting a Mobile Coffee Shop

Mobile coffee shops, which include trucks, vans, and carts, continue to gain popularity due to shifting consumer tastes and habits. For example, the total mobile food truck market, which includes coffee vendors, increased from $2.11 billion in 2024 to $2.49 billion in 2025, according to The Business Research Company. 

Many entrepreneurs prefer mobile models because they can reach customers at sporting events, office parks, and in neighborhoods. Think of the joy a parent feels when they see a Travelin’ Tom’s Coffee Truck at their kid’s very early soccer game! At the same time, their busy customers appreciate the quick service and accessibility that mobile coffee brands provide. As demand for convenience and specialty drinks continues to grow, mobile coffee businesses are well-positioned to achieve financial success. 

You may choose to invest in a national or local mobile coffee business, depending on what’s available in your region, your business goals, start-up costs, and regional competition. 

Starting a Mobile Coffee Truck Franchise vs. Going It Alone

Investing in a mobile coffee franchise offers several advantages over launching your own business from scratch, especially if you’ve never worked in the food and beverage industry. 

For example, franchises provide:

• A Proven Business Model: Franchises have already tested systems for inventory, staffing, marketing, and customer service. You don’t have to create your own set of processes or make costly mistakes through trial and error.
• Built-In Brand Recognition: National or regional franchise brands already come with name recognition, a loyal customer base, and product and service credibility, which can help you ramp up your business more quickly.
• Training and Support: Franchisors typically provide comprehensive training on operations, menu development, equipment use, and compliance. Ongoing support often includes business coaching, marketing campaigns, and tech platforms to simplify operations.
• Access to Financing: Lenders are more apt to back a franchise with a proven track record than an unknown start-up. Some franchisors also offer in-house financing or partnerships with preferred lenders.
• A Streamlined Start-up Process: In exchange for your franchise fee and initial investment, you often get a loaded truck, branded materials, supplies, and step-by-step guidance. There’s no need to compare costs or make decisions about every aspect of your business, which can speed up your launch time.
• National Marketing and Resources: Franchisors invest in national or regional marketing efforts and have agreements with preferred vendors and technology providers, whereas independent businesses must establish these relationships independently.

The chart below compares the advantages of investing in a franchise versus starting a mobile coffee business. 

Every business venture carries risk, no matter what type of model you choose. Some of the reasons include external challenges, such as the pandemic or economic downturns, as well as rising labor and real estate costs. In some cases, businesses grow too quickly and are unable to sustain operations. Understanding the challenges in your market can help you create a realistic business plan and avoid similar pitfalls. 

Before investing in a franchise, you must assess its financial potential in both the short and the long term. This not only helps you understand whether the opportunity aligns with your long-term financial goals, but also helps you determine whether your expected return justifies your financial risk. 

Travelin’ Tom’s: An Exemplary Franchise

Founded by Tony Lamb, the visionary behind the wildly successful Kona Ice, Travelin’ Tom’s is a mobile coffee franchise that launched in 2021. Its mobile coffee concept offers entrepreneurs a turnkey opportunity to own their own businesses and serve premium hot and cold drinks in their communities. The trucks offer hot, iced, and frozen coffee drinks, as well as hot chocolate, apple cider, chai tea, and cold drink options, including lemonade, energy drinks, and iced teas. Today, more than 250 Travelin’ Tom’s trucks operate in 36 states, and the franchise is still growing.

Travelin’ Tom’s franchise owners praise the company for its diverse drink menu and equipment that allows them to craft perfect drinks every time. They credit Travelin’ Tom’s three-day training program, which teaches new owners how to make the drinks and how to properly clean and maintain the trucks, for their success. The corporate office handles branding, sourcing goods, and managing operations, freeing up business owners to focus on selling drinks and serving customers. 

“Franchisor support starts as soon as you buy your first truck,” said Sandra Andrews, a Travelin’ Tom’s business owner since 2023, “And it never stops. They don’t just hand you the keys and wish you luck. They make sure you’re fully prepared.” 

Jon and Rachel Booms first entered the mobile food truck business in 2014 as Kona Ice franchise owners, bringing frozen treats to customers in Cedar Rapids and Iowa City. As Kona Ice franchisees, they saw a tremendous opportunity when Travelin’ Tom’s Coffee debuted in 2021. 

“The corporate team provides an amazing experience,” Jon said. “The playbook is there. The community of help, support, and encouragement is there. It’s just a matter of trusting the process, following that playbook and great things happen.”

Other franchise owners echo the value of being part of the Travelin’ Tom’s family. In a recent Franchisee Satisfaction Survey conducted by Franchise Business Review, here’s how Travelin’ Tom’s franchise owners ranked their experience: 

• 96% of franchisees agree that their fellow franchisees are supportive of the brand
• 96% of franchisees believe that senior management acts with a high level of honesty and integrity
• 96% of franchisees agree that they trust their franchisor
• 92% of franchisees would recommend the brand to others
• 91% of franchisees enjoy operating their businesses

Travelin’ Tom’s Coffee does not disclose specific franchisee earnings in Item 19 of its 2025 Franchise Disclosure Document (FDD). This is not uncommon, especially for newer franchises or those with variable performance across locations. As a result, prospective franchisees should exercise due diligence, including speaking directly with current business owners to gain insights into potential earnings.

How to Open a Mobile Coffee Truck

Starting a mobile coffee truck involves creating a business plan, selecting a suitable legal structure, obtaining the necessary permits, and equipping a vehicle with the required coffee-making equipment. If you decide to build a mobile coffee business from scratch, you’ll need to develop a menu, source ingredients, and get insurance. You’ll also need to invest in social media, create visibility at local events, and offer loyalty programs. Start-up costs for an independent business can range from $50,000 to $150,000. 

Entrepreneurs can also consider franchising to get built-in vehicle, marketing, and operational support. To invest in Travelin’ Tom’s Coffee, you’ll need a net worth of $100,000 and $30,000 in cash. 

You can expect to make an initial investment of between $201,840 and $259,325, according to its 2025 FDD; this includes:

• Franchise fee: $15,000
• Beverage Entertainment Vehicle (BEV): $171,950 ($20,000 deposit)
• Travelin’ Tom’s owners also pay a $3,000 royalty in years one and two. $4,000 in years 3-6 and $5,000 in years 7-10.

Travelin’ Tom’s owners operate in protected territories and can apply for financing with lenders the company works with.

Are you ready to take your dream of opening a coffee business on the road? Visit:

https://www.ownacoffeetruck.com/