Boba CucueFranchise Cost, Revenue & Review 2026
Formerly known as Boba Pub
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Boba Cucue franchise requires a total initial investment of $200K – $383K, including a $40K franchise fee and an ongoing 5.5% royalty[2]. Per the 2026 FDD, average unit revenue was $390K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $200K – $383K
- 31st pct Service Resta…
- Avg gross sales
- $390K
- 4th pct Service Resta…
- Royalty
- 5.5%
- 40th pct Service Resta…
- Units
- 14
- 41st pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $200K – $383K including a $40K franchise fee, 5.5% ongoing royalty.
- Average unit revenue of $390K/year.
- Verdict A (Top Quintile) with a risk score of 37/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Boba Cutea US Group, LLC
- Incorporated in
- AZ
- HQ
- 694 S. Cooper Road, A1, Gilbert, AZ 85233
- Auditor
- Naper CPA Group
- Audited financials
- Franchisor revenue
- $258K
- vs $412K prior year
Affiliated brands
- Boba Cutea USA
- Bobacutea Phoenix
- Boba Cutea Mesa
- Bobacutea Chandler
- BobaCutea Supply
- businesses do
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate bubble tea retail locations serving specialty beverage drinks (boba tea, flavored teas, etc.). Day-to-day operations include inventory management, customer service, point-of-sale transactions, beverage preparation, and local marketing. Most locations appear to be small footprint retail shops or kiosks in high-traffic areas.
- CEO
- Chung Kit (Gary Lo)
- Headquarters
- AZ
- Founded
- 2023
- FDD year
- 2026
- States available
- 5
FDD Item 7 · 2026 filing · 17 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $40K | |
| Rent and Lease Security Deposit | $2K | $10K | |
| Utilities | $1K | $2K | |
| Leasehold Improvementsnot refundable | $40K | $100K | |
| Market Introduction Programnot refundable | $3K | $7K | |
| Furniture, Fixtures, and Equipmentnot refundable | $60K | $120K | |
| Computer Systemsnot refundable | $4K | $5K | |
| Insurancenot refundable | $350 | $4K | |
| Signagenot refundable | $4K | $7K | |
| Office Expensesnot refundable | $500 | $1K | |
| Inventorynot refundable | $15K | $25K | |
| Licenses and Permitsnot refundable | $1K | $3K | |
| Professional Fees (lawyer, accountant, etc.)not refundable | $1K | $3K | |
| Travel, Lodging and Meals for Initial Trainingnot refundable | $3K | $6K | |
| Additional Funds (first 3 months)not refundable | $25K | $50K | |
| Additional Initial Franchise Fees for 1-4 Additional Franchise Units (MUDA)not refundable | $28K | $110K | |
| Business Planning and Miscellaneous Expenses (MUDA)not refundable | $1K | $5K | |
| Total initial investment | $228K | $498K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$60K
15.5% margin
Unlevered ROIC
18%
EBITDA / total invested capital
Payback
5.4 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $200K – $383K
- Better than avg vs category
- Liquid capital req'd
- $25K – $50K
- Near category avg vs category
- Franchise fee
- $28K – $40K
- Below avg, review vs category
- Royalty
- 5.5%
- Gross Sales · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.5% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $200 |
| Transfer fee | $10K |
| Total fee load | 6.5% of rev |
A 6.5% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $390K
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- Affiliate-owned outlet performance
- Sample size
- 7 units
- vs category median 28 · small
- Range (low → high)
- $164K→$412K
- Cohort dispersion (min → max)
- Transparency
- 3 / 5
- vs category median 4 / 5 · below
Compared against 453 Quick-Service Restaurants brands
vs Quick-Service Restaurants averages
How Boba Cucue Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 14
- Opened
- 5
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 4
- Corporate units in the system
- % franchised
- 71%
- vs corporate-owned
- Net growth (yr3)
- +100.0%
- Net unit change last year
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $150K
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- N/A
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Boba Cucue's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage, undisclosed-profitability franchise with going concern warnings and minimal operational track record presents significant validation and financial transparency risks.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Bankruptcy (Item 4)
Disclosed in last 7 years
Bankruptcy Code; (b) obtained a discharge of its debts under the bankruptcy code; or (c) was a principal officer of a company or a general partner in a partnership that either filed as a debtor (or had filed against it) a petition to start an action under the U.S. Bankruptcy Code or that obtained a
Audited financials (Item 21)
Yes · Naper CPA Group
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 37 / 100 rating
- 01MINORNo net income disclosure (Item 19) prevents ROI validation despite $390K average revenue claims
- 02HIGHGoing Concern status is FALSE — suggests franchisor may have disclosed material uncertainties about viability
- 03MINORExtremely small system (14 units) with 100% YoY growth is mathematically suspect and indicates very recent or unstable expansion
- 04MEDHigh initial investment range ($199K-$383K) relative to disclosed revenue creates unclear payback period
- 05MINOR5.5% royalty on gross sales compounds profitability risk when net margins are unknown
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 3 |
| Territory type | Radius or other boundaries |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Arizona |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 81 hrs
- On-the-job training
- 48 hrs
- Training location
- On-site and corporate
- POS system
- POS/CRM system
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: POS/CRM system
Item 20 · call current owners
Franchisee Contacts
14 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Boba Cucue · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Boba Cucue franchise?
The total investment to open a Boba Cucue franchise ranges from $200K – $383K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Boba Cucue franchise owners earn?
According to Item 19 of the Boba Cucue FDD, the average gross sales per unit is $390K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Boba Cucue's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Boba Cucue (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Boba Cucue franchise locations are there?
As of their most recent FDD filing, Boba Cucue has 14 total units in the United States, including 0 franchised units and 4 company-owned units. 5 new units were opened in the latest reporting year.
Is Boba Cucue a good franchise to buy?
FranchiseVerdict rates Boba Cucue as a A-grade franchise with a risk score of 37 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
If you represent Boba Cucue, you can request corrections or provide updated information.
Claim this brandOther Quick-Service Restaurants franchises
Compare similar franchise opportunities in the Quick-Service Restaurants category
Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.