Ziggi’s Coffee signs franchise deal for 50 Atlanta-area locations

MEAD — Ziggi’s Coffee, which was founded as a single coffee shop in Longmont in 2004, has signed a franchise agreement for 50 new locations in the Atlanta area.

“We are so excited,” Ziggi’s co-founder and CEO Brandon Knudsen told BizWest on Wednesday. “We love our onesies and twosies, those mom-and-pop franchise holders, but we’re so excited that a franchisee of this scale would trust us given all the competitors out there.”

Knudsen said the “really sophisticated franchisee” has requested not to be identified at this point, but described it as “amazing” and “experienced.”

By far the largest single franchise deal in Ziggi’s history, the agreement signed Friday gives the franchisee exclusive rights for Ziggi’s in metro Atlanta, the eighth-largest metropolitan statistical area in the nation with an estimated population of more than 6.2 million.

Ziggi’s first extended its reach into Georgia in June, submitting a proposal to the planning and development department in Augusta for a location there.

The fast-growing chain, which began awarding franchises in 2016, boasts approximately 75 drive-through and walk-in stores in 16 states. The Atlanta deal follows other major franchise agreements, including one for nine new stores in Washington state and another for 18 stores in Illinois, Indiana and Kentucky. The chain has opened 10 new sites so far in 2023 and expects to open 50 new outlets across the nation within the next 12 months.

The Atlanta franchisee will “go and find the locations,” Knudsen said. “We do have to approve them, but they have their own real estate team and development team, and we’re just supporting them.

“They paid for 50 units, and there were very complicated terms,” Knudsen said. “We’ll make a royalty off those stores and distribute product to them.”

The company tells potential franchisees that the initial investment for franchise locations ranges from $467,000 to $2 million, and that it is “mostly focused on the development of its double-sided drive-thru model.”

“We are so thrilled to welcome this amazing group to the Ziggi’s family,” said Justin Livingston, Ziggi’s vice president for franchise development, in a prepared statement. “The Ziggi’s brand has experienced monumental growth, but with a focus on finding only the perfect franchisees to join the opportunity. Signing an agreement for 50 units with such an experienced group is tremendous validation to the systems and brand experience Ziggi’s brings to markets.

“Closing a market to a single franchisee to develop is a decision we take very seriously, and this team is the perfect fit,” Livingston said. “We look forward to seeing them grow the Atlanta market and continuing our pursuit of finding more incredible franchisees with an unwavering commitment to creating long-term mutually beneficial relationships.”

Recently ranked on the 2023 Entrepreneur Magazine Franchise 500, the brand is known for its ever-evolving menu.

Locally, Knudsen said, a 1,800-square-foot cafe and drive-through at Clover Basin and Airport roads in Longmont is still in the planning and design stages. “We’ve been planning it for two years, and when it opens will be up to the city planning department,” he said, although he hopes it will open by the fourth quarter of 2024. Another Longmont location is planned along East Ken Pratt Boulevard near Longs Peak Hospital.

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