Bottom line
- Total investment $183K – $390K including a $10K franchise fee, 4.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 72/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Jazen Tea® unit return on the cash you put in?
Unlevered ROIC · per unit
29%
Below typical band (30–60%)
Overview
About
Jazen Tea franchisees operate specialty tea retail locations selling premium loose-leaf and brewed tea beverages, likely including customizable drinks and food pairings. Day-to-day operations involve customer service, inventory management, brewing/preparation, point-of-sale transactions, and local marketing. The franchise model depends on foot traffic, repeat customers, and brand recognition in competitive beverage markets.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 6 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Jazen Tea presents HIGH RISK due to a contracting unit base (-9.1% YoY), hidden financial metrics (no Item 19 disclosure), questionable franchisor going concern status, and a capital-intensive model lacking transparent return projections.
Score breakdown · what drove the 72 / 100 rating
- 01MEDSystem contracting sharply: 13 units with -9.1% YoY decline indicates deteriorating franchise health and market viability
- 02MINORNo financial performance disclosure (Item 19): Absence of average unit revenue and net income prevents ROI validation and hides profitability concerns
- 03HIGHGoing Concern status is FALSE: Franchisor may have disclosed financial instability or operational challenges to the FTC
- 04MEDHigh capital requirement ($182.6K–$389.9K) paired with undisclosed returns creates significant investment risk without performance benchmarks
- 05MINORLack of transparency on unit economics: 4% royalty structure cannot be evaluated without knowing actual sales figures or net margins
- 06MINORShrinking franchisee base suggests high failure rate, poor unit support, or unsustainable business model in beverage retail sector
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
19 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Jazen Tea® · FDD (2024) PDF