Presotea Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Presotea is a bubble tea franchise serving made-to-order teas brewed fresh with an espresso-style tea machine. Franchisees run the shops, managing drink prep, ingredient inventory, and counter service.
FranchiseVerdict summary · 2026
A Presotea franchise requires a total initial investment of $193K – $238K and an ongoing 1.7% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2024 FDD issuance
Overview
- Investment
- $193K – $238K
- 21st pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 1.7%
- 1st pct Service Resta…
- Units
- 21
- 50th pct Service Resta…
- SBA charge-off
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = favorable by >10% vs Quick-Service Restaurants avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $193K – $238K, 1.7% ongoing royalty.
- RETURNSItem 19 contains no financial performance representations; franchisor makes no representations about franchisee future or past financial performance.
- RISKVerdict A (Strongest tier), verdict score 60/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- PRESOTEA (USA) CO., LTD
- Parent company
- Presotea Co., Ltd (Taiwan) - affiliate
- Ultimate parent
- Presotea Co., Ltd (Taiwan)
- CEO title
- President, Chief Financial Officer, Secretary and Director
- Mei Yen Chen
- CEO experience
- 18 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- Delaware
- HQ
- 1209 Orange Street, Wilmington, Delaware 19801 (US mailing address); business address No.3 Fuxing St., Tucheng Dist., New Taipei City 236, Taiwan (R.O.C.)
- Auditor
- JTC Accountancy Corp
- Audited financials
- Franchisor revenue
- $117K
- vs $191K prior year
Affiliated brands
- is Presotea Co
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Mei Yen Chen
- Headquarters
- DE
- Founded
- 2018
- FDD year
- 2024
- States available
- 20
Can you afford it, and what does the money buy?
Entry cost runs 67% below the typical quick-service restaurants franchise.
Source: FDD 2024 · Items 5–7
Full Item 7 breakdown7 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Fee | — | — | |
| Training Feenot refundable | $20K | $20K | |
| Rent & Security Deposit for Warehouse (3 Months) | $3K | $10K | |
| Travel & Living Expenses While Attending Initial Training | $12K | $14K | |
| Insurance (3 months) | $10K | $20K | |
| Professional Fees | $10K | $25K | |
| Additional Funds (4-6 months) | $139K | $149K | |
| Total initial investment | $193K | $238K |
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.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $193K – $238K
- Top 40% of category vs category
- Liquid capital req'd
- $139K – $149K
- Bottom third — review vs category
- Franchise fee
- N/A
- Paid to franchisor at signing
- Royalty
- 1.7%
- percentage · typical 6–8%
- Ad fund
- 5.0%
- typical 3–5%
- Total fee load
- 6.7%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 1.7% of gross sales |
| Marketing / ad fund | 5.0% of gross sales |
| Training fee | $20K |
| Transfer fee | $20K |
| Renewal fee | $50 |
| Inventory (initial) | $69K – $69K |
| Total fee load | 6.7% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
Presotea did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one Presotea unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
32%
Within the 30–60% "attractive franchise" band
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2024 FDD
Financial Performance
Item 19 contains no financial performance representations; franchisor makes no representations about franchisee future or past financial performance.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 6.7% — below the Quick-Service Restaurants average of 7.9%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Multi-unit rate
80% of franchisees own multiple units — high repeat-buyer rate signals strong unit economics and operator satisfaction.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Quick-Service Restaurants averages
How Presotea Compares
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 21
- Opened
- 1
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 8
- Corporate units in the system
- % franchised
- 62%
- vs corporate-owned
- Multi-unit owners
- 80.0%
3-year detail · Item 20
- Opened (3yr)
- 0
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 12
- Reacquired (3yr)
- 1
- Franchisor bought back
- Projected new
- 1
- Franchisor's next-year forecast
- Transfer rate
- 60.0%
- Owners selling to other franchisees
- Termination rate
- 40.0%
- Franchisor-initiated terminations
- Ceased ops
- 40.0%
- Units that stopped operating
Last reporting year only, multi-year history not disclosed in this brand's FDD.
Item 12 · 20 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
20
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $297K
- Median loan
- $149K
- average
- Charge-off rate
- N/A
- limited sample (2 loans) — rate not shown below 10
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
- 2
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
No litigation, bankruptcy, or going-concern; audited financials. Single concern is no Item 19 disclosure, combined with a small 20-unit master-franchise system showing negative net growth of -4.8%. Franchisor-level equity not disclosed in profile.
Litigation (Item 3)
No disclosed litigation.
Largest disclosed settlement: $58,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · JTC Accountancy Corp
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 60 / 100 verdict
- 01MINORNo Item 19 disclosure
- 02MINORNegative net growth -4.8%
- 03MINORSmall 20-unit system
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.7% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 6 years |
|---|---|
| Renewal term | 6 years |
| Territory type | exclusive |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | No |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | Yes |
| Arbitration location | Minnesota |
| Jury trial waiver | Yes |
| Governing law | Minnesota |
| Litigation count | 0 |
View Item 3 litigation summary
No disclosed litigation.
Items 10, 11
Training & Operations
- Classroom training
- 88 hrs
- On-the-job training
- 32 hrs
- Training location
- HQ Office in Taiwan and Presotea corporate store in Taiwan
- Ongoing training
- Required
- Time to open
- 6 mo
- From signing to launch
- Site selection
- Master Franchisee/Area Representative, subject to franchisor approval
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
3 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Presotea · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Presotea franchise?
The total investment to open a Presotea franchise ranges from $193K – $238K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Presotea franchise owners earn?
Presotea does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Item 19 in the Presotea FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Presotea FDD and qualifies whose outlets they describe.
What is Presotea's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Presotea (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 Presotea franchise locations are there?
As of their most recent FDD filing, Presotea has 21 total units in the United States, including 13 franchised units and 8 company-owned units. 1 new units were opened in the latest reporting year.
Is Presotea a good franchise to buy?
FranchiseVerdict rates Presotea as a A-grade franchise with a verdict score of 60 out of 100 (higher is better), 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 Presotea, you can request corrections or provide updated information.
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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.