Denver entrepreneur Dan Klehm opened the third location of his Convict Coffee chain this week at the corner of Colfax Avenue and York Street. The new shop joins two existing locations—one in Parker and another near the University of Denver—bringing the mission of second chances to a busy downtown corridor still under bus rapid transit construction.
From prison coffee to a thriving business
Klehm, 56, recalls making coffee in a prison bathroom more than three decades ago, using a Bugler tobacco can, copper wire and a roll of toilet paper to heat water. “It was pretty terrible,” he said, describing the makeshift brew. Today, his coffee is brewed in a modern espresso machine, but the drive to keep people out of prison remains the same.
After serving time for a series of felony convictions—including illegal possession of weapons, burglary, grand theft and embezzlement—Klehm was released from a California prison with no high school diploma. He worked his way up through the restaurant industry, eventually becoming a vice president at a national chain. He says today’s background‑check environment would have made that ascent far more difficult.
Hiring people with criminal records
Convict Coffee deliberately hires individuals who have criminal records, though it does not limit employment to those who have been incarcerated. The company partners with local re‑entry programs such as the Realness Project and the Juvenile Assessment Center, and it donates to shelters and sober‑living homes like Step Seven Ministries and Treasure House of Hope.
“Our slogan is ‘Get out, do good,’” Klehm explained. “We’ve raised over $200,000 for people in prison and those who have gotten out.” The business also caps executive pay at five times the entry‑level wage, a direct contrast to the compensation of industry giants. “People at the top often forget what it’s like to wash dishes or clean floors,” he said, calling out Starbucks CEO Brian Niccol’s reported $96 million earnings in his first four months.
Community impact and future plans
The new Colfax location sits next to R&R Head Labs, a barbershop that also employs formerly incarcerated workers, creating a small hub of second‑chance employers. Klehm lives in a van by choice, emphasizing that personal comfort matters less than the mission of helping others.
Looking ahead, Convict Coffee plans to establish its own nonprofit arm and eventually offer franchising opportunities to long‑term employees who have spent at least five years with the company. “We want to empower our staff to become owners and continue raising funds for the community,” Klehm said.
Local residents have responded positively to the shop’s coffee and its community‑focused ethos. “We have very good coffee, a cool menu, and a space where people feel connected to what we’re doing,” Klehm said. The opening adds another family‑friendly gathering spot to Colfax Avenue, supporting both the local economy and the broader goal of reducing recidivism.
Original reporting: Denverite — read the source article.
