WateriaFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Wateria franchise requires a total initial investment of $134K – $203K, including a $30K franchise fee. The 2024 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $134K – $203K
- 14th pct Retail
- Avg gross sales
- N/A
- 21st pct Retail
- Royalty
- N/A
- Units
- 0
- 0th pct Retail
- SBA default
- N/A
Quick verdict · Retail · color = vs category peers
Green = >15% above Retail avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $134K – $203K including a $30K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 57/100.
- 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
- Legal entity
- Wateria CA, LLC
- Ultimate parent
- Yesone Corporation
- CEO title
- President & Managing Member
- Kelly N. Choi
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- CA
- HQ
- 13120 Barton Road, Whittier, California 90605
- Auditor
- Wisely & Co, LLP
- Audited financials
- Franchisor revenue
- $0
- vs $0 prior year
Overview
About
Wateria franchisees operate water vending stations or delivery routes selling purified and alkaline water to retail/consumer customers. Day-to-day operations include station maintenance, water quality monitoring, customer acquisition/retention, delivery logistics, and payment processing. Revenue depends on gallon volume sold across two product lines with drastically different royalty structures.
- CEO
- Kelly N. Choi
- Headquarters
- CA
- Founded
- 2022
- FDD year
- 2024
- States available
- 0
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $12K | $12K |
| Equipment, build-out, other | $92K | $161K |
| Total initial investment | $134K | $203K |
Source: Wateria 2024 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
- $134K – $203K
- Better than avg vs category
- Liquid capital req'd
- $12K – $12K
- Better than avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- Purified Water: 2 Cents per Gallon; Alkaline Water: 35% o…
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 37.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | Purified Water: 2 cents per gallon; Alkaline Water: 35% up to 2,000 gallons, 30% from 2,001-3,000 gallons, 27.5% from 3,001-4,500 gallons, 25% for 4,501+ gallons |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $250 |
| Transfer fee | $3K |
| Renewal fee | $5K |
| Total fee load | 37.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Retail averages
How Wateria Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 0
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Company-owned
- 0
- Corporate units in the system
- Multi-unit owners
- 20.0%
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 0
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $150K
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- N/A
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
- 1
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Wateria's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Wateria presents HIGH RISK due to going concern status, zero transparent unit data, missing financial disclosures (Item 19), and unsustainably high tiered royalties that may render franchises unprofitable at typical volumes.
Litigation (Item 3)
No litigation disclosed in Item 3
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Wisely & Co, LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 57 / 100 rating
- 01HIGHGoing Concern status indicates franchisor financial distress or viability questions
- 02MEDZero disclosed unit count with unknown growth trajectory suggests system collapse, startup phase, or data concealment
- 03MEDNo average revenue or net income disclosure (missing Item 19) prevents ROI validation and profitability assessment
- 04MINORTiered royalty structure on alkaline water (35% down to 25%) is extraordinarily high and may be unsustainable at lower volumes
- 05MINORModest initial investment ($134K-$203K) contradicts complex royalty model, suggesting potential underfunding or aggressive unit economics
- 06MINOR5-year term is shorter than industry standard (10 years), indicating either high franchisor confidence issues or franchisee protections concerns
- 07HIGHNo litigation disclosed but going concern status raises questions about hidden disputes or regulatory issues
- 08MINORPurified water royalty (2 cents/gallon) lacks context on volume thresholds or profitability floors
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 1 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 2 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Los Angeles, California |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation disclosed in Item 3
Items 10, 11
Training & Operations
- Classroom training
- 6 hrs
- On-the-job training
- 17 hrs
- Training location
- On-site at franchisee's restaurant and franchisor's facility
- Ongoing training
- Required
- POS system
- Sunny
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Sunny
Item 20 · call current owners
Franchisee Contacts
3 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Wateria · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Wateria franchise?
The total investment to open a Wateria franchise ranges from $134K – $203K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Wateria franchise owners earn?
Wateria 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 Wateria's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Wateria (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.
Is Wateria a good franchise to buy?
FranchiseVerdict rates Wateria as a B-grade franchise with a risk score of 57 out of 100, 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.
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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.