TP TEA Shop Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
TP TEA is a bubble tea franchise serving Taiwanese-style teas, milk teas, and boba drinks. Franchisees run the shops, managing drink prep, ingredient inventory, and counter service.
FranchiseVerdict summary · 2026
A TP TEA Shop franchise requires a total initial investment of $394K – $697K, including a $49K franchise fee and an ongoing 5.3% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $394K – $697K
- 65th pct Service Resta…
- Avg gross sales
- N/A
- Royalty
- 5.3%
- 42nd pct Service Resta…
- Units
- 10
- 37th 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 $394K – $697K including a $49K franchise fee, 5.3% ongoing royalty.
- RETURNSNo Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- RISKVerdict C (Average), verdict score 53/100 (higher is better).
- FLAGAuditor disclosed a going-concern note, which flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- TPLIN, Inc.
- Parent company
- Win Win Tea LLC (Delaware LLC, Parent of TPLIN, Inc.)
- Ultimate parent
- TPTEA Co., Ltd. (Taiwan) via TPTEA USA Inc. (Master Franchisor)
- CEO title
- Chief Executive Officer and Director
- Juo-Lin Chen
- CEO experience
- 13 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- California
- HQ
- 1510 Tersita Dr, San Jose, California 95129
- Auditor
- DLEE Accountancy, Inc.
- Audited financials
- Franchisor revenue
- $2.5M
- vs $3.7M prior year
- ⚠ Going-concern note
- Disclosed in FDD 2025
- Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.
Overview
About
- CEO
- Juo-Lin Chen
- Headquarters
- CA
- Founded
- 2017
- FDD year
- 2025
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 17% below the typical quick-service restaurants franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $49K | $49K |
| Working capital (3–6 mo) | $60K | $120K |
| Equipment, build-out, other | $285K | $528K |
| Total initial investment | $394K | $697K |
Source: TP TEA Shop 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $394K – $697K
- Middle of category vs category
- Liquid capital req'd
- $60K – $120K
- Bottom third — review vs category
- Franchise fee
- $49K – $49K
- Bottom third — review vs category
- Royalty
- 5.3%
- Gross Sales · typical 6–8%
- Ad fund
- 0.5%
- typical 3–5%
- Total fee load
- 5.8%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.3% of gross sales |
| Marketing / ad fund | 0.5% of gross sales |
| Training fee | $500 |
| Transfer fee | $15K |
| Renewal fee | $8K |
| Inventory (initial) | $70K – $70K |
| Total fee load | 5.8% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
TP TEA Shop 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 TP TEA Shop unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
19%
Below 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: 2025 FDD
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
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 5.8% — 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.
Operator retention
Net unit growth of +133.3% over 3 years (3 opened, 0 closed).
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 TP TEA Shop Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 10
- Opened
- 3
- 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
- 3
- Corporate units in the system
- % franchised
- 70%
- vs corporate-owned
- Net growth (3-yr)
- +133.3%
- Net unit change over 3 years
- 3-yr CAGR
- +133.3%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 3
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 3
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state 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.
1
states with franchisees (per FDD Item 12)
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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
The auditor flagged going-concern doubt (Item 21) — the single biggest risk here.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
⚠ Grade capped at C: the auditor disclosed a going-concern note (FDD Item 21). The verdict score reflects the underlying financials before that cap.
going_concern_note=true is the key flag, but financials are parent-level and the parent is healthy (net worth $1.27M, net income $316,670), and this is a young 10-unit system (franchising since 2020). No litigation or bankruptcy; no Item 19 disclosure.
Litigation (Item 3)
No litigation required to be disclosed
Largest disclosed settlement: $2,500
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · DLEE Accountancy, Inc.⚠ Going-concern note flagged
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 53 / 100 verdict
- 01MINORgoing_concern_note=true (but parent-level, small/young system)
- 02MINORfinancials_are_parent_level; parent net income $316,670
- 03MINORNo Item 19 disclosure
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 5.8% 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 | 5 years |
|---|---|
| Renewal term | 2 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 1 mi |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 162 hrs
- Training location
- Taiwan (Republic of China)
- Ongoing training
- Required
- POS system
- Snackpass Register
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Snackpass Register
Item 20 · call current owners
Franchisee Contacts
8 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
TP TEA Shop · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a TP TEA Shop franchise?
The total investment to open a TP TEA Shop franchise ranges from $394K – $697K, with an initial franchise fee of $49K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do TP TEA Shop franchise owners earn?
TP TEA Shop 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 TP TEA Shop 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 TP TEA Shop FDD and qualifies whose outlets they describe.
What is TP TEA Shop's franchise failure rate?
SBA 7(a) loan charge-off data is not available for TP TEA Shop (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 TP TEA Shop franchise locations are there?
As of their most recent FDD filing, TP TEA Shop has 10 total units in the United States, including 7 franchised units and 3 company-owned units. 3 new units were opened in the latest reporting year.
Is TP TEA Shop a good franchise to buy?
FranchiseVerdict rates TP TEA Shop as a C-grade franchise with a verdict score of 53 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 TP TEA Shop, 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.