For Coffee News, what does 'Ceased Operations - Other reasons' mean?
Coffee_News Franchise · 2025 FDDAnswer from 2025 FDD Document
| State | Year | Outlets at Start of Year | Outlets Opened | Terminations | Non- Renewals | Reacquired by Franchisor | Ceased Operations – Other reasons | Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| Grand Total | 2022 | 487 | 3 | 80 | 0 | 0 | 47/-8* | 355 |
| 2023 | 355 | 15 | 32 | 0 | 0 | 5* | 333 | |
| 2024 | 333 | 10 | 36 | 0 | 0 | 0 | 307 |
| Province | Year | Outlets at Start of Year | Outlets Opened | Termi nation s | Non- Renewal s | Reaquired By Franchisor | Ceased Operations /Other reasons | Outlets at End of the Year |
|---|---|---|---|---|---|---|---|---|
| Alberta | 2022 | 62 | 0 | 0 | 0 | 0 | 3 | 59 |
| 2023 | 59 | 0 | 0 | 0 | 0 | 0 | 59 | |
| 2024 | 59 | 0 | 0 | 0 | 0 | 0 | 59 | |
| British | 2022 | 45 | 0 | 0 | 0 | 0 | 0 | 45 |
| Columbia | ||||||||
| 2023 | 45 | 3 | 0 | 0 | 0 | 0 | 48 | |
| 2024 | 48 | 1 | 0 | 0 | 0 | 0 | 49 | |
| Manitoba | 2022 | 12 | 0 | 0 | 0 | 0 | 10 | 2 |
| 2023 | 2 | 0 | 0 | 0 | 0 | 0 | 2 | |
| 2024 | 2 | 0 | 0 | 0 | 0 | 0 | 2 | |
| New | 2022 | 5 | 0 | 0 | 0 | 0 | 3/+1 | 3 |
| Brunswick | ||||||||
| 2023 | 3 | 0 | 0 | 0 | 0 | 0 | 3 | |
| 2024 | 3 | 0 | 0 | 0 | 0 | 0 | 3 | |
| Province | Year | Outlets at Start of Year | Outlets Opened | Termi nation s | Non- Renewal s | Reaquired By Franchisor | Ceased Operations /Other reasons | Outlets at End of the Year |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| Newfoundl | 2022 | 6 | 0 | 0 | 0 | 0 | 6 | 0 |
| and & | ||||||||
| Labrador | ||||||||
| 2023 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| 2024 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| Nova | 2022 | 3 | 0 | 0 | 0 | 0 | 2 | 1 |
| Scotia | ||||||||
| 2023 | 1 | 0 | 1 | 0 | 0 | 0 | 0 | |
| 2024 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| Ontario | 2022 | 58 | 0 | 0 | 0 | 0 | 22/-9* | 27 |
| 2023 | 27 | 3 | 2 | 0 | 0 | 0 | 28 | |
| 2024 | 28 | 0 | 4 | 0 | 0 | 0 | 24 | |
| PEI | 2022 | 2 | 0 | 0 | 0 | 0 | 0 | 2 |
| 2023 | 2 | 0 | 0 | 0 | 0 | 0 | 2 | |
| 2024 | 2 | 0 | 0 | 0 | 0 | 0 | 2 | |
| Saskatche | 2022 | 1 | 0 | 0 | 0 | 0 | 1 | 0 |
| wan | ||||||||
| 2023 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| 2024 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |
| Total | 2022 | 194 | 0 | 0 | 0 | 0 | 47/-8* | 139 |
| 2023 | 139 | 6 | 3 | 0 | 0 | 0 | 142 | |
| 2024 | 142 | 1 | 4 | 0 | 0 | 0 | 139 |
| State | Year | Outlets at Start of Year | Outlets Opened | Terminations | Non- Renewals | Reacquired By Franchisor | Ceased Operations – Other reasons | Outlets at End of the Year | |---|---|---|---|---|---|---|---|---| | Total in United | 2022 | 293 | 3 | 80 | 0 | 0 | 0 | 216 | | States and | | | | | | | | | | Central America | | | | | | | | | | | 2023 | 216 | 9 | 29 | 0 | 0 | 5* | 191 | | | 2024 | 191 | 9 | 32 | 0 | 0 | 0 | 168 | Reallocated to another state/franchisee. Readjusted territories.
Source: Item 20 — Outlets and Franchisee Information (FDD pages 28–35)
What This Means (2025 FDD)
The 2025 Coffee News Franchise Disclosure Document (FDD) provides data on franchise outlet activity, including a category called 'Ceased Operations – Other reasons.' This category captures instances where a Coffee News franchise stops operating for reasons other than termination, non-renewal, or reacquisition by the franchisor. These 'other reasons' are not defined within the excerpt.
Across the United States, the number of Coffee News outlets that ceased operations for 'other reasons' was 0 in 2022, 5 in 2023, and 0 in 2024. For Canada, the numbers are more variable by province. For example, in 2022, Alberta saw 3 outlets cease operations for other reasons, while Manitoba saw 10, and Ontario saw 22. The FDD includes a footnote indicating that some of these closures may be due to reallocation to another state/franchisee or readjusted territories.
As a prospective franchisee, it's important to understand the specific reasons that fall into this 'Ceased Operations – Other reasons' category. Potential reasons could include the franchisee's decision to sell the territory back to Coffee News, relocation of the franchisee, or other personal circumstances that lead to the business ceasing operations without a formal termination or non-renewal. Understanding the reasons behind these closures can provide valuable insight into potential challenges and opportunities within the Coffee News franchise system.