Do you want to start a boba tea shop by buying a franchise? If YES, here are 10 best indoor Taiwan bubble tea Franchise opportunities for sale and their cost.
Bubble tea is a drink invented in the 1980s in Tainan and Taichung and has gained popularity around the world. The drink is incredibly popular throughout much of Asia, but still in the introductory stages in America. Depending on your location, one primary segment of possible customers for this business is likely to include early adopters.
These are individuals willing to test new products or experiences. Their word of mouth could be very valuable to you. If you’re establishing your business in a location where most prospects will be familiar with bubble tea, your customer base might consist of people who want to judge your tea and overall product mix against the competition.
Irrespective of your location, customers will expect a pleasing and relatively low-cost break from their day. Note that it is not new to see long queues in bubble tea shops as there is a buzz around the beverage right now.
Venturing into this business through a bubble tea franchise could be a goldmine since the popularity is exploding. To buy into a bubble tea franchise, you will need a minimum of about $150,000. This money goes into paying the franchise fees, store rental, equipment, various start-up fees, and to meet liquid reserve requirements.
However, note that the above number is just an approximate starting point—the specific requirements will vary with each franchise. If you are looking to acquire a Taiwan Bubble Tea Franchise, here are top 10 franchises to consider:
Best Taiwan Bubble Tea Shop Franchise Opportunities
1. Gong Cha
Financial Requirements
- Franchise fee: $41,500 per location, 4.5% of monthly sales
- Total Investment: $177,430 – $335,400 per location
- Liquid Capital Requirement: $150,000
This company was established in 2006 and has its headquarters in Kaohsiung, Taiwan. It is one of the most popular bubble tea brands in the world today. The name translates to “tribute tea for the emperor”. The franchise has over 1,500 locations worldwide across 15 countries and that number is constantly growing.
In April 2014, Gong Cha USA opened its first franchise store in Flushing, Queens (New York). Currently, there are about 17 outlets total within New York, New Jersey, Massachusetts, and Texas. Gong Cha’s continuous development around the world hasn’t affected its initial mission to provide every customer quality tea products.
2. Bambu
Financial Requirements
- Franchise fee: $40,000
- Total Investment: $137,000-$321,000
- Liquid Capital Requirement: $10,000-$20,000
This beverage franchise was founded by 4 Viennese sisters in 2008, in San Jose, California. The company is marketed as 100% vegetarian drinks and provide a friendly service.
In over 70 Bambu stores across 22 states and Canada, they still stay true to the founding principles of the original establishment. The 4 sisters that started the venture are still involved with the business today. With Bambu franchise, you get on-site training and financing opportunities.
There is no percentage based on the volume of sales that’s achieved. You can specify the location you’d like to open in when applying, but you are always advised to take a look at their current list of active sites to get an idea.
3. Kung Fu Tea
Financial Requirements
- Franchise fee: $37,000
- Total Investment: $124,050 to $428,050
- Liquid Capital Requirement: $140,000 to $422,000 for a traditional store of around 500-1,500 square feet, $123,000-$275,000 for a non-traditional location
This company was founded in 2009 by Michael, Allen, and Ray. Currently, Kung Fu Tea has 187 locations in Vietnam, Australia, Canada, and across the U.S. The upfront costs are $37,000 for a traditional store purchase fee and $10,000 for the training fee.
The total initial capital is around $140,000 to $422,000 for a traditional store of around 500-1,500 square feet – and $123,000-$275,000 for a non-traditional location. Equipment costs are around $25,000-$35,000 and there might be renovation costs.
Also note that the franchise royalty fee is 4% and you need a working capital of $5,000-25,000. Locations can be opened in across 29 states and the South has the highest number of stores.
4. Bubbleology
In 1983 Taiwan was introduced to bubble tea by Liu Han-Chieh. He added juicy Tapioca pearls into fruit-based teas. Since then, the variety of the menu has grown to cater to a wider customer base. They have 69 locations across UK, Europe, and the USA. To get started with a Bubbleology franchise you need to be passionate about the brand and have local market knowledge.
Financial Requirements
- Franchise fee: $30,000
- Royalty fee: 5%
- Marketing fee: 1%
- Total Investment: $163,000 – $284,000
- Liquid Capital Requirement: $100,000
5. Bee & Tea
Financial Requirements
- Franchise fee: $40,000
- Total Investment: $150,000
- Liquid Capital Requirement: $50,000
With a vibrant and urban storefront, Bee and Tea’s mission is for everyone to experience their top quality Taiwanese boba milk tea beverages by offering a wide variety of flavour, sweetness, and topping options for each guest’s brew. This company is renowned for its innovative approach in the boba tea world and its ability to bring personalized beverage creations, mouth-watering bao and a chic service to customers.
Bee & Tea specializes in honey tapioca boba beverages with a spin of modern flavours and combinations. With a new signature drink released each month, their awesome Bee & Tea customers have the opportunity to enjoy a carefully concocted beverage, or make their own just the way they want it.
6. 7 Leaves
Financial Requirements
- Franchise fee: $35,000
- Royalty fee: 6%, 2% of gross sales
- Total Investment: $250,000 – $500,000
- Liquid Capital Requirement: $1,000,000
Close friends and a band of brothers founded 7 Leaves back in 2011 in Little Saigon. Over the years, the business grew in Orange Country and then across the rest of California. Its mission is to provide the best of what different cultures have to offer.
7 Leaves currently has 22 locations across California, Nevada and Texas. The 7 Leaves franchise opportunity is currently available in 12 states, which includes Texas, Arizona, New Jersey, and more.
7. Boba Loca
Financial Requirements
- Franchise fee: $10,000 to $14,000
- Total Investment: $88,945 to $327,955
- Liquid Capital Requirement: $75,000
Boba Loca originated in Asia and has gained significant popularity in the Western US. There are 23 locations and it is a wonderful opportunity for entrepreneurs in underserved markets as the franchise is actively looking to expand across the United States.
Also, the allowed locations are not yet set in stone so you’ll need to hear the results of your application to find out. It’s also preferable that you have around 3 years of retail experience.
8. Jazen Tea
Financial Requirements
- Franchise Fee: $12,000
- Total Investment: $118,000-$197,500
- Liquid Capital Requirement: $150,000
Jazen Tea is renowned as a café that serves fruit and bubble teas, slushies, smoothies and snacks in the United States of America. Jazen Tea was founded in 2012 and they have been franchising since 2013. The company was created on the founding principles of freshness.
The company now has 18 locations across the globe and is offering new franchisees to join. Their marketing team is available to help new franchisees get started and generating businesses from day 1.
9. Chatime
Financial Requirements
- Franchise fee: $50,000
- Total Investment: $150,000 – $160,000
- Liquid Capital Requirement: $50,000
Chatime boasts of over 2,500 locations around the globe and is accepting more franchisees to join their growing family. Their headquarters are in Taiwan and operate in over 38 countries, but their first outlet outside of Taiwan was in California. The company also offers a 3-week training program and you don’t need previous experience in the food industry.
10. Sweetwaters Coffee & Tea
Financial Requirements
- Franchise Fee: $49,500
- Royalty Fee: 6%
- Total Investment: $260,076 – $393,174
- Liquid Capital Requirement: $120,000
Sweetwaters Coffee & Tea was founded in 1993 and they have been franchising for about 15 years. With its corporate head office at 123 W. Washington St. Ann Arbor, MI 48104, the company boasts of having solid relationships with third-party sources which offer financing to cover franchise fee, start-up costs, equipment, inventory, and payroll.
The Parent Company of Sweetwaters Coffee & Tea is Sweetwaters Group LLC and they are seeking new franchise units from interested investors from all across the United States of America.
It is pertinent to note that most top bubble tea franchises in the above list started in Asia or California and have the aim of expanding globally. Also, the bubble tea market is expected to double in the next 7 years. Therefore, franchisees have a great opportunity to get on the bandwagon before the marketplace becomes saturated.