Bottom line
- Total investment $394K – $697K including a $49K franchise fee, 5.3% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 62/100.
- 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 TP TEA Shop unit return on the cash you put in?
Unlevered ROIC · per unit
14%
Below typical band (30–60%)
Overview
About
TP TEA Shop franchisees operate specialty tea retail locations, likely focused on bubble tea, premium loose-leaf teas, or Asian tea beverages. Day-to-day operations include inventory management, beverage preparation and service, customer interaction, staff scheduling, and local marketing within a protected territory.
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 · 8 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
TP TEA Shop presents elevated risk due to absence of financial performance data (Item 19), questionable parent company stability, minimal system size, and rapid expansion without proven unit economics or franchisee profitability history.
Score breakdown · what drove the 62 / 100 rating
- 01MINORNo Item 19 disclosure: Average revenue and net income not provided, making ROI projections impossible to validate
- 02HIGHGoing Concern status is FALSE: Parent company may have financial stability issues or operational concerns
- 03MEDSmall system size with only 10 units: Limited scale, data sample, and support infrastructure; high unit growth (75% YoY) suggests very recent expansion with unproven model
- 04MEDHigh initial investment relative to undisclosed earnings: $393K-$697K investment with no earnings data creates blind ROI analysis
- 05MEDLimited franchise history: Only 10 units suggests nascent franchise system with minimal track record for franchisees to evaluate
- 06MINOR5.3% royalty rate is competitive, but high upfront costs ($49K fee) strain early profitability
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
16 numbers
One-time purchase · CSV download · Validation questions included
FDD download
TP TEA Shop · FDD (2025) PDF