Presotea Franchise Cost, Revenue & Review 2026
- Investment
- $193K – $238K
- Disclosed sales
- not disclosed
- SBA charge-off
- Under 10 loans (2)
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]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored3 of 4 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $193K – $238K
- 20th pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 1.7%
- 1st pct Service Resta…
- Units
- 21
- 49th 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 median · 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.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict B (Above average), verdict score 56/100 (higher is better).
- GROWTHNegative: net -7 franchised outlets in the latest year (1 opened, 8 closed) (Item 20).
- DATAThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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)
- FDD Item 1, page 9 of the 2025 FDD
- 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
- 2025
- States available
- 20
Can you afford it, and what does the money buy?
Entry cost runs 56% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
This fee is for a master or area-representative grant rather than a single unit, so it is not comparable with the single-unit fees shown for other brands.
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
- Master/area fee
- Royalty
- 1.7%
- 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 makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Presotea unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
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: 2025 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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% (near the Quick-Service Restaurants median).
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 medians
How Presotea Compares
Category median of published Quick-Service Restaurants brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 21
- Opened
- 1
- Last reporting year
- Closed
- 8
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 38.1%
- Company-owned
- 8
- Corporate units in the system
- % franchised
- 62%
- vs corporate-owned
- Multi-unit owners
- 80.0%
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 1
- Reacquired
- 8
- Franchisor bought back
- Transfer rate
- 60.0%
- Owners selling to other franchisees
- Termination rate
- 40.0%
- Franchisor-initiated terminations
- Ceased ops
- 40.0%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
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)
Where the owners are · Item 20 owner list
3 current owners across 1 state.
- CA 3
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
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
- Under 10 loans (2)
- Insufficient SBA coverage: 2 loans, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (2)
- 5-yr charge-off
- Under 10 loans (2)
- 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)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No disclosed litigation.
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 56 / 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 2025 · 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 territory |
| 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
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 makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Presotea?
Presotea is franchised by PRESOTEA (USA) CO., LTD. Its parent company is Presotea Co., Ltd (Taiwan) - affiliate. The ultimate parent named in the FDD is Presotea Co., Ltd (Taiwan). Source: FDD Item 1, 2025 filing.
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 B-grade franchise with a verdict score of 56 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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
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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.