Franchise Information Package
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Mission Statement
Our mission, in partnership with every Franchisee and Team
Member, is to be the industry leader through commitment to
excellence in people, product quality, value, cleanliness, Guest
service, and community leadership.
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Our History
The Tim Hortons chain was founded in 1964 in Hamilton, Ontario, Canada.
The chain's
focus on top quality, always fresh product, value, great service and community
leadership has allowed it to grow into the largest quick service Restaurant chain in
Canada specializing in always fresh coffee, baked goods and home-style lunches.
The first Tim Hortons Restaurants offered only two products - coffee and donuts. The
selection of donuts was highlighted by two original Tim Hortons creations, the Apple
Fritter and the Dutchie. They became the most popular donut choices in the 60's, and
remain two of the most popular today.
In addition to our regular stand-alone Restaurants, Tim Hortons locations can also be
found in shopping malls, highway outlets, universities and hospitals, providing
prominent visibility for the chain. Most standard Tim Hortons locations offer 24-hour
drive-thru service, catering to consumers on the go. Tim Hortons currently
franchises stand-alone Restaurants only.
As of June 30th, 2013, Tim Hortons had 4,304 system-wide Restaurants, including
3,468 in Canada, 807 in the United States and 29 in the Gulf Cooperation Council.
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Franchising Program
Franchise Cost: $480,000 to $510,000* plus all applicable taxes (this includes a drive-thru)
Additional Working Capital: (start-up costs) $50,000 (unencumbered)
At least $153,000 of the franchise cost must be unencumbered (cash or liquid assets) in
addition to the $50,000 working capital that must also be unencumbered. The remaining
amount may be financed through various lending programs offered by the chartered banks,
providing, of course, the candidate meets the normal borrowing requirements.
The specific cost of a Tim Hortons license will depend upon the Tim Hortons building size and
the required furnishings and equipment to be installed. The cost of a Tim Hortons license may
exceed $510,000 in certain locations due to higher development costs.
Included in the cost of a franchise is the following:
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All equipment, furniture, display equipment and signage
Seven (7) week training program in the Oakville, Ontario, at Tim Hortons University
A Restaurant opening crew/Manager of Operations Standards (MOS) to assist the
opening of the Tim Hortons Restaurant (for a maximum period of two weeks)
The use of all Tim Hortons Manuals
Right to use trademarks and trade names
Support from head office personnel who have vast knowledge in the food service
business
Not included in the cost of the franchise:
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The building (responsibility of the TDL Group)
The property that the Restaurant is built (responsibility of the TDL Group)
The term of the License agreement is usually 10 years and usually with options to renew for up
to a further period of 10 years.
*Subject to change without notice.
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Royalties
In addition to the initial investment, on-going payments (plus applicable taxes) are
required as follows:*
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A weekly royalty fee of 4.5% of gross sales for the term of the license
A monthly rental that is the greater of a fixed minimum rent or 8.5% of monthly
gross sales
A monthly advertising levy of 4% of gross sales for the term of the license
*Royalties are subject to change
Selection Process
The selection of new Tim Hortons Franchisees is an important decision involving an
extensive interview/approval process. For mutual success and satisfaction, we must
ensure that each Franchisee possesses the necessary entrepreneurial drive,
management skills, financial means and dedication that are required in today's
competitive market.
In the Tim Hortons system, the selection of the best people followed by a
comprehensive training program and ongoing operational and marketing support has
allowed the chain to continue its expansion and remain as Canada's leading coffee and
baked goods chain.
The acceptance of an application should not be construed as an approval or future
guarantee of becoming a Tim Hortons Franchisee.
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Training Program
New franchisees undergo an intensive seven week training program at the Tim Hortons
University, located next to the Oakville, Ontario, head office. The facility includes
classrooms and a fully operational Restaurant, providing trainees with intensive handson experience in the preparation of all Tim Hortons products. Strong emphasis is placed
on food handling and hygiene procedures, Team Member relations, equipment
maintenance and in-Restaurant security systems.
Support Team
With the head office in
Oakville, Ontario and
regional offices in Nova
Scotia, Quebec, Alberta and
British Columbia, franchisees
receive corporate support
from coast-to-coast.
The Canadian team is
comprised of key functions
ranging from operations,
training, real estate
development, construction,
accounting, human
resources, information technology, franchising and marketing.
Our Managers of Business Development (MBD’s) are the direct link to our franchisees
through frequent on-site visits. In addition to their primary function of providing
experienced and knowledgeable feedback and guidance, they also ensure that our
standards of product quality, value, and cleanliness and Guest service are consistently
met in all locations within their district.
Have further questions? Please email [email protected]
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