New DC and HQ
Bad Ass Coffee of Hawaii has relocated its corporate headquarters from Denver to Lexington, Kentucky, and simultaneously opened an East Coast distribution center in the region — a dual infrastructure move designed to tighten supply consistency for franchise operators concentrated along the East Coast and at destination-market locations. The DC investment is part of a broader operational buildout the brand executed through the first half of 2026 to support its next growth phase.
The supply-chain infrastructure play is central to the brand's franchise value proposition. Tom Wylie, elevated from Chief Operating Officer to President, framed the DC not as a real estate decision but as a unit-economics lever. "Consistency in the supply chain and discipline in how we grow matter more than any single opening," said Wylie, who oversees real estate, site selection, construction, and new store openings. For multi-unit operators managing back-of-house receiving, storage, and inventory across several cafés, a regionally anchored distribution point can meaningfully reduce lead times and shrinkage — factors that hit directly on food and beverage cost of goods.
Franchisee-First Buildout
Wylie brings more than 20 years of franchise operations experience, including prior leadership roles at Papa John's and Burn Boot Camp. He is also a co-owner of AWA Investments, the multi-unit, multi-brand franchisee group that is the largest investor in Bad Ass Coffee's parent company, Royal Aloha Coffee Company — a structural alignment that places a working operator at the top of the brand's leadership. His mandate has included a full revamp of back-office systems, giving franchisees clearer visibility into unit-level economics and better tools to manage store performance. For operators building out new café locations, that kind of data infrastructure informs equipment procurement decisions, scheduling, and energy cost tracking — areas where energy-and-sustainability planning is increasingly part of the site-selection conversation.
The company also updated Iain Douglas' title to Chief Strategy and Brand Officer, and added Stacy Nichols as Controller, Arden McLaughlin as Director of Communications and Franchise Engagement, Dave Dodson as Head of Local Store Marketing and Activation, Rachael Buckley as National Brand Manager, and Ed Yancey to lead Franchise Development.
Growth Outlook
Bad Ass Coffee has expanded to 48 locations in 2026, with much of that growth driven by existing franchisees opening second and third stores rather than first-time entrants. The brand now counts 10 multi-unit owners, with four more preparing to open their second location. The brand projects 13 new store openings for the full year, targeting a total of 55 locations by the end of 2026. With 100-plus additional shops reported to be in various stages of development, the commissary-style distribution model in Lexington is positioned to scale alongside that pipeline.
For foodservice equipment dealers and dealer-channel reps active in café and quick-service buildouts, the brand's accelerating multi-unit pipeline — each new location requiring espresso equipment, refrigeration, prep and storage, and smallwares — represents a recurring specification opportunity. The brand's forthcoming expansion into grocery, hospitality, and specialty retail channels could further widen the back-of-house equipment footprint beyond traditional café formats. Bad Ass Coffee was also named to the 2026 Inc. 5000 list of fastest-growing private companies in America, adding external validation to its growth trajectory.
Written by Michael Politz, Author of Guide to Restaurant Success: The Proven Process for Starting Any Restaurant Business From Scratch to Success (ISBN: 978-1-119-66896-1), Founder of Food & Beverage Magazine, the leading online magazine and resource in the industry. Designer of the Bluetooth logo and recognized in Entrepreneur Magazine's "Top 40 Under 40" for founding American Wholesale Floral, Politz is also the Co-founder of the Proof Awards and the CPG Awards and a partner in numerous consumer brands across the food and beverage sector.
