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Frequently Asked Questions

How much does it cost to purchase a Tim Hortons franchise?

The cost of a full Canadian franchise varies from $480,000 to $510,000* (CDN$) (plus all applicable taxes). At least $153,000 of the franchise cost must be unencumbered (cash or liquid assets), in addition to $50,000 in working capital (also unencumbered). The remaining amount may be financed through the chartered banks, upon approval of a franchise.

* The cost of a Tim Hortons license may exceed $510,000 in certain locations due to higher development costs.

What is included in the cost of the franchise?

Included in the cost of a franchise is the following:

  • all equipment, furniture, display equipment and signage
  • 7-week training program in the Oakville, ON Tim Hortons University
  • a store opening crew/MOS to assist in the opening of a Tim Hortons restaurant (for a maximum period of two weeks)
  • the use of all Tim Hortons Manuals
  • right to use the Trademarks and Trade names
  • support from the head Office personnel

Who is responsible for the costs to develop the location (site and building)?

The TDL Group Corp. assumes all costs associated with the development of the land and building. It is not an option for a franchisee to develop the property or own the building.

What if I own property that I would like to develop with Tim Hortons?

Should an interested individual or landowner bring a specific site to us we cannot guarantee that they will be the franchisee for that site, if we pursue it. There are numerous factors that would determine if a site were to be offered to an existing or new franchisee.

What types of qualifications does Tim Hortons seek in a franchise candidate?

For mutual success and satisfaction, we must ensure that every Franchisee possesses the necessary skills, commitment level, dedication, work ethic, character and strong people skills. There are a number of qualifications we look for in an applicant such as:

  • Leadership or Managerial Experience
  • Hospitality/Food/Retail Experience
  • Involvement in the local community
  • Customer Service Experience
  • Financial Stability
  • Passion for the brand
  • Proven track record of success
  • Business Savvy
  • Two Partners*

*Please note Tim Hortons franchises only to individuals who will be hands-on operators, not to corporations or passive investors. We expect both applicants, if approved for a franchise, to commit to the demands of a 24/7 busy restaurant operation, and both be equally invested in time, financial investment and effort.

Why are two partners required?

Given the demands of a 24 hour, 7 days a week operation, it is our strong preference to seek Franchisees that can demonstrate extensive coverage and availability. We are not conducive to investors or silent partners and will only consider applications which include two partners.

Who can be a partner?

We consider any proposed partnership and evaluate accordingly. Our goal is to ensure we have the best franchisees in our restaurants, and recommend giving careful consideration to who your potential partner will be as Tim Hortons franchise agreements are typically 10 years in length with an option to renew for an additional 10 years. We evaluate criteria in any partnership such as: time you have known one another, previous business experience together, proven experience working in a non-business setting, and other factors.

What is the application process?

In considering any applicant, there are a number of aspects that are assessed in evaluating candidacy. These include ownership structure, commitment level, work ethic, skills and qualifications, previous employment and managerial experience, strong people skills, and financial soundness.

The nature of the operation requires a personal commitment to the business, and, particularly in the initial years, an investment of long hours. Since the franchise agreement is for a 10 year term, plus potential renewals totaling an additional 10 years, we seek franchisees who can make a long term commitment to operating the franchise, without becoming absentee owners once established.

This is done by a partnership of two individuals, both devoting their full and entire efforts to the restaurant operations. Our definition of full-time is without any outside employment commitments or other active operating business.

Both partners must be able to contribute financially in the business (which as a total meets our minimum requirements). We are not conducive to investors or silent partners.

Our Franchising Team carefully reviews all applicants and contacts those applicants that meet the requirements of TDL GROUP CORP. We cannot guarantee that any "approved" applicant will ultimately be awarded a franchise as it is heavily weighted on a number of factors including:

  • restaurant availability in location(s) specified;
  • sound Financial statements;
  • excellent credit history and satisfactory Criminal background check;
  • successful completion of a series of behavioural interviews;
  • passing Tim Hortons University;
  • and other factors, which are subject to change at the discretion of TDL GROUP CORP.

Once I meet the criteria, what is the waiting period for a franchise and how do I know what number I am on the list?

We do not rank applicants in order in which they apply. Therefore, we are unable to quote timeframes or guarantee a candidate that they will ultimately be chosen for an interview and/or approved for a franchise. When we have an opportunity for a new franchisee, all applicants who have identified that particular area as a location preference, will be considered. The most qualified applicants will be contacted for the first interview. Consideration is not based on the length of time that an applicant has been on file.

I applied several years ago. Do I need to re-apply?

It is the responsibility of all applicants to update any changes to their file. If it has been more than two years and you have not been shortlisted for a restaurant, we kindly request you update your file with us and re-instate your interest. If you have applied prior to 2013, you will need to update your information online with TDL GROUP CORP. as we have recently moved to an online system.

What type of return can I expect?

Projected Earnings statements are provided to candidates who have been short-listed for a particular opportunity. These statements are not available in the initial stages of the application process.

In addition to the initial investment of a Tim Hortons franchise, what on-going payments am I required to make during the term of the License?

On-going payments include:

  • a weekly Royalty fee of 4.5% of gross sales for the term of the License;
  • a monthly Rental fee (which is the greater of a fixed minimum rent or 8.5% of gross monthly sales);
  • a monthly Advertising levy of 4% of gross sales for the term of the License.

at the end of each five (5) year period of the License term, at the sole discretion of The TDL Group Corp., an obligation to refurbish the restaurant to meet current Tim Hortons standards.

What is the term of the License Agreement?

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.

What if I am interested in an International franchise outside of Canada and the United States?

We have recently announced a Master License Agreement and operate locations in United Arab Emirates, Qatar, Bahrain, Kuwait and Oman. Our plans for further international expansion are not yet established and we cannot offer a time frame when this will change.

Please forward your International inquiries to:

international_requests@timhortons.com

What if I am living outside of Canada; can I still apply for a Canadian franchise?

Applicants must be permanent residents of Canada in order to apply for a franchise. Unfortunately, we are unable to pre-approve applicants to assist them in the immigration process.

I have an idea for a "non-traditional" restaurant (ie: food truck, special kiosk, etc.) Can I submit a proposal for an idea?

Tim Hortons only franchises stand-alone restaurants. We will not consider or accept proposals that are not conducive to our Franchise model.

I own a business. Can I still operate a Tim Hortons?

In order to operate a Tim Hortons restaurant, an approved Franchisee who is awarded a Tim Hortons restaurant must sell their business and cannot operate any other business without the written approval of TDL GROUP CORP (please note that submitting an application or becoming pre-qualified is not the same as being awarded a Tim Hortons restaurant and should not be construed as such).

How secure is my personal information?

All information is kept confidential within the Franchise department of The TDL Group Corp. We do not sell your personal information to third parties.

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