How long has MM been around?
Mountain Mudd was founded in 1994 by Brenda Burkhartsmeier and her Sister-in-Law, Louise. It started as one specialty coffee kiosk in Billings, MT. Over the years it has grown to 15 corporate owned kiosks in Billings, MT and 75 co-ops in 21 states. In October of 2006 Mountain Mudd joined Cenex Harvest States, Inc. (CHS), a Fortune 200 Company, in expanding our concept into a national franchise.
When did MM start Franchising?
In August of 2007, Mountain Mudd was officially registered to sell franchises. Contact us to see if we are currently registered in your state.
How much is the initial investment?
The Franchise Fee is $10,000. The standard cost for the industrial single kiosk (Model 88), equipment package, supplies, education, training, start-up, and delivery from Mountain Mudd is $95,000. Additional expenses including: lease(s), installation (above and beyond what we provide with the kiosk), insurance, permits, licenses, and additional operating capital are estimated at $67,000 to $203,000 per kiosk. (Refer to Item 7 of Offering Circular).
How much will I need for working/operating Capital?
The estimate for your initial three-month start-up expenses, less income earned, not including salary or personal expenses for you is $2,000-$50,000. This includes but is not limited to: lodging, meals, travel for training (no training is provided for your third and subsequent Stores), initial employee recruitment, training, wages, prepaid expenses, deposits (e.g. utilities and rent), initial inventory, supplies, insurance premiums, legal and accounting fees (if any), taxes, licenses, permits, advertising/marketing, other variable costs (e.g. electricity, telephone, heat, etc.), and general and administrative costs. (Refer to Item 7, note 5 of offering circular). These figures are just estimates and we cannot guarantee that you will not have higher costs, or that you will ever achieve profitability. Also, competitive conditions described in Item 1 of the offering circular affect these costs.
Does Mountain Mudd offer financing?
Mountain Mudd Espresso, Partnered Beverages LLC, or Beverage Partners, LLC do not offer financing. However, we are happy to facilitate calls with financing vendors. Please contact your sales representative for more information.
What equipment is provided in the franchise cost?
The kiosk is really a “turn key” business and equipment package. Not coincidentally, the most expensive part of the package is our kiosk, which truly differentiates Mountain Mudd from the competition. Click here to see what is included in the franchise package.
What is a UFOC?
The Uniform Franchise Offering Circular (UFOC) is the legal document that provides disclosure of information to prospective franchisee’s about our company, including franchise agreements, fees, biographies of principles in our organization, and much, much more. We spent countless hours preparing this necessary document in order to uphold the laws of franchising and provide a comprehensive, professional, and legitimate business offering to our prospects and customers. Before the end of 2007, Federal Guidelines change and the legal document will be a “Franchise Disclosure Document”, which more closely describes the purpose.
Why a Mountain Mudd franchise instead of doing it on my own?
Great question! We aren’t suggesting that you couldn’t, wouldn’t, or shouldn’t. In fact, our founder did and has spent the last 14 years perfecting it!
This opportunity is for those who want to go into business for themselves, but not by themselves. A franchise is not a guarantee of success and the coffee business is not a game of chance. We at Mountain Mudd believe that our no-nonsense, proven business model, first-class training and support, and the highest quality products and recipes, trademarks, logos, and group discount pricing provide a solid foundation to start your new business and deliver results.
Our goal is to use or expertise in site selection, lease negotiation, permitting and licensing, and industry-leading efficiencies inside of our kiosk to assist you every step of the way as you open your first franchised Mountain Mudd kiosk.
Who is Mountain Mudd looking to become a franchisee?
Mountain Mudd is looking for experienced, entrepreneurial individuals and corporations looking to enhance their current business by offering an up and coming concept in their market. Traditionally, a franchisee’s would have a net worth of at least $300,000 with at least $50,000 available in liquid assets.
Does Mountain Mudd provide a business plan?
No we don’t. However, there are many providers of business plan software and information. For business plan software see:
SCORE Business Counselors or Paloalto Software
Two useful websites for industry statistics are:
Bizminer or Coffee Business Report
How much money can I make?
This is the most simple, most common question, with the most complicated answer. The Federal Trade Commission restricts our ability to provide estimated profit figures, but has allowed gross profit figures as stated in our offering circular (Item 19, Exhibit I). Upon request we will provide serious candidates references of existing licensees and franchisee’s. We support our prospects due diligence and believe in the importance of asking many real world questions.
How large an area is protected territory?
The minimum protected area is a ½ mile radius of the kiosk location, but additional factors such as number of kiosks committed, population density, traffic and geography are all considered. (Refer to Item 12 of UFOC). Protected areas that are located in or near unique venues such as airport concessions or sports and entertainment venues may affect territories.
How long does it take to open a Mountain Mudd Kiosk?
The greatest limiting factor in getting the kiosk open is the regulatory permitting that varies by state and local ordinance. We estimate between 6 months and for the demanding locales it may take up to 2 years.
Is there assistance in zoning and permitting?
Yes! We will advise you regarding permitting, building, zoning, and health and sanitation compliance at all necessary governmental levels. However, you remain responsible for all such matters and must attend all required in-person meetings and pay all licensing and permitting fees.
Do franchisee’s pay for advertising?
Yes, franchisees are responsible for their own advertising. We provide the use of our marketing and advertising materials in electronic format. Each franchise is provided a cuppy costume, We do reserve the right to establish and organize advertising and promotional programs, and charge you up to 2% of your Gross Revenue per month to participate in such programs.
How much Training does a franchisee receive?
The University of Mudd, which lasts two to three days, teaches you every facet of this dynamic industry, including the preparation of gourmet beverages, staff hiring and training, marketing principles, and the development of a menu that satisfies your customers. We provide both classroom and hands on training at our operational kiosks in Billings. At the same time, you’ll learn how to avoid costly mistakes by establishing and executing your business plan using our time-tested strategies. In addition to the U of Mudd, we provide a “reminder” training program for you and your employees at your site upon purchase and installation of your kiosk.
Our goal is to offer you expert assistance every step of the way so you feel confident and well versed as you prepare to open and operate your first franchised Mountain Mudd kiosk.
How many supplies do I receive initially?
Approximately one month of supplies is included in the franchise, but to save on shipping you may purchase more supplies to be shipped with the kiosk.
How do I order more? Do I have to order through MM?
Franchisee’s may order supplies by phone, fax or through the website.