Kung Fu Tea

Kung Fu Tea’s current online prospectus estimates total initial capital of $140,000–$422,000 for a traditional store and $123,000–$275,000 for a nontraditional store. The actual amount depends on the store format, size, location, construction work and other startup expenses. These figures are estimates rather than guaranteed project costs.

The traditional-store franchise fee is $37,000, and the published training fee is $12,500. Equipment, renovations, rent deposits, inventory, insurance and working capital can add substantially to the initial budget. Prospective owners should request a current itemized estimate and confirm which expenses are already included in the total.

The official prospectus lists a royalty fee of 4% of gross sales and a marketing fee of 2% of gross sales. These recurring payments should be included in the financial plan alongside rent, labor, ingredients, utilities, insurance and other operating expenses.

The franchisor also lists other potential expenses, including technology fees and required purchases from approved suppliers. Candidates should review the current FDD’s fee schedule carefully to identify all recurring and conditional charges, rather than considering the royalty percentage alone.

Kung Fu Tea’s franchise process includes site selection assistance, store build-out guidance and the KFT Academy training program. The official franchise page states that two people per location can receive training for up to two weeks.

The company also provides on-site assistance around opening, with a senior trainer supporting the new store for two weeks, according to its published franchise information. Applicants should confirm the training schedule, travel costs, staffing requirements and the scope of ongoing operational support in their franchise agreement.

Yes. Kung Fu Tea offers traditional stores and nontraditional formats. Traditional stores are designed as standalone retail locations, while nontraditional locations may operate in airports, hotels, university campuses, shopping malls, stadiums and similar venues.

The company also encourages multi-unit development. However, each format has different investment requirements and site conditions. Prospective franchisees should confirm whether a proposed location is eligible, whether the territory is protected and what development commitments apply before signing an agreement.

Kung Fu Tea’s current franchise page advertises a network of more than 440 locations. The company describes itself as a leading American bubble tea brand, but its total network size should not be interpreted as evidence of the financial performance of an individual outlet.

The cited public franchise materials do not provide an average annual revenue figure. Prospective franchisees should request the latest FDD, check whether it includes a financial performance representation in Item 19 and speak with current and former franchisees about sales, costs and operating conditions.