
Frequently Asked Questions
Thinking about franchising with Cora? Find answers to common questions about ownership, costs, training, support, and what to expect along the way.
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About Cora
Who is the typical Cora guest?
Cora guests are breakfast lovers of all kinds. But our sweet spot is families and early retirees, ages 35-55. There’s something for everyone on our menu. From wholesome to indulgent. Our claim to fame? A focus on fresh fruit that really sets us apart from most other breakfast concepts. On top of breakfast, we also have a big lunch crowd—perfect for those seeking quick and wholesome meals.
Why choose Cora over other breakfast franchises?
We are family-owned, which means we stay true to what we do best. A creative, full breakfast and lunch experience in an unbeatable atmosphere. Unlike our competitors, we’re not about rapid expansion, appeasing shareholders, or chasing trends. As pioneers of breakfast dining in Canada, we’ve built our company one restaurant at a time. We’re a trusted brand, with the consistent commitment to quality that has generated a loyal following from coast to coast.
Approval process
What’s the interview process like?
Fairly straightforward. We’ll conduct two rounds of interviews to evaluate your operational skills and business acumen. Microsoft Teams interviews are one hour each, and we use standardized interview grids to ensure that all candidates are assessed on the same merits.
What kind of background checks do you run?
Quite standard: Credit check, criminal records, as well as a full financial verification, including bank statements to confirm the source of your 40% equity and net worth.
What does disclosure involve?
We’ll give you an FDD (Franchise Disclosure Document) in compliance with applicable provincial legislation to help you get a better understanding of Cora as a franchisor. The FDD includes the financial performance of current Cora locations including revenue and profitability. This information is for historical purposes only, and future projections are not provided. Note, disclosure is only issued if the prior steps are satisfactory.
What’s the workshop like?
Welcome to the last step of approval. This 2-day experience is a great way for you to test drive the Cora lifestyle and understand our operations. It’s also a great opportunity for us to get to know you and how you put your skills to work in an existing franchisee’s restaurant— backed by our operations team. A $3,000 non-refundable deposit, which helps secure your place in the development pipeline, is due at this stage and will be later applied towards initial fees for the restaurant opening.
How long does the process take?
From start to signing, it can happen in as little as 9 weeks. Much of the approval process is self-directed. After that, restaurant openings generally take place within 12-18 months of our first conversation. The biggest variable is how long site selection takes.
What is Cora looking for in the ideal franchisee?
You see yourself as a motivated, hands-on owner-operator. Hospitality experience is a big plus, but what we’re really seeking are passionate, inspiring leaders with a strong focus on operations. Also, you live in the market where you’d like to develop your Cora. However, if you’re looking for a passive investment, we’re probably not the right fit.
Deal terms
What are the fees and royalties?
- Banner fee: $35,000 for the initial 10-year term (there are two 5-year options)
- Renewal: $17,500 (first 5-year renewal), the the 2nd 5-year renewal is FREE.
- Royalty: 5 % of gross sales
- Marketing: 3 % of gross sales
- Local marketing: 0.5% of gross sales (a cost incurred directly by the franchisee in their course of business, not paid to Cora.)
How long is the agreement?
The initial term is 10 years with two 5-year options—up to 20 years total.
Development costs, site selection, construction process
What’s the startup cost?
Development costs can vary depending on your location and size of restaurant. Here’s a breakdown of what you’ll need to make your Cora happen:
- Construction/equipment: $650,000 to $900,000
- Soft costs (such as banner fees, legal fees, training costs, business licence, first product orders): $100,000
- Total initial investment before opening your Cora restaurant: $750,000 to $1,000,000.
- Also note, a minimum 40% equity is required. That’s $300,000 to $400,000 unencumbered cash to proceed.
How does the lease work?
It’s a collaborative process, where we both agree—franchisee and franchisor—on site selection. We’re there every step of the way assisting you in the Offer to Lease and negotiation process. You’ll benefit from our wide-ranging experience and relationships with landlords and developers. Most importantly, we want you to have complete ownership over this significant aspect of restaurant development, and the lease will be held directly by you the franchisee, not Cora.
Financing
For the 40% unencumbered cash requirement, what does “unencumbered” mean?
Unencumbered by definition means money that is not borrowed (i.e. lines of credit or home equity loans) with no repayment obligations or interest. As a part of the approval process, we take the time to verify unencumbered funds.
Here are a few examples of unencumbered funds :
- Cash in chequing or savings accounts
- Cashable GICs
- Easily accessed investments, such as funds in a TFSA
How will we secure the bank loan?
You’re not alone. At Cora, we have programs in place with all the top banks in Canada. Our partnerships with banks help our franchisees access financing that fits their needs, often at better rates.
Other questions
Do you guarantee success?
As with any business venture, we cannot guarantee your success. Nor should you trust anyone making this kind of claim. What we do offer, to your great benefit, is a tried and tested business model based on decades of experience and 125+ locations and decades of experience.
Are there Halal menu options?
Of course! Our goal is to ensure that all of our customers’ needs are met. As a franchisee you can opt for Halal-certified meats to best serve your local community.
Can I create my own menu items?
We truly value your input. But as a representative of the Cora breakfast institution, you’re also an ambassador of the Cora way, featuring a consistent menu across all restaurants. We do, however, regularly introduce new menu items that fit our brand values and customer preferences. Your feedback is an valued part of this process.
Can I become a multi-unit franchisee?
Yes you can. While keeping in mind that Cora is traditionally an owner-operator focussed model. You can own multiple locations, but it’s essential that each location has a strong operations plan.
Staffing & training
How many staff do I need?
To run your restaurant effectively, you’ll need approximately 20-30 employees.
Does Cora train my staff?
We’re with you all the way. On day one, your initial opening, we’ll be there to assist you with training. You’ll be responsible for hiring, but we’ll work closely with you giving you the knowledge and tools to do it right.