Chatime Franchise FDD, Costs & Fees (2025)

Chatime is a globally recognized bubble tea brand offering a variety of tea-based beverages with fresh ingredients and customizable options.

Established in 2005 by Henry Wang in Hsinchu, Taiwan, Chatime has rapidly evolved into a leading global teahouse franchise. With its headquarters in Zhubei, Hsinchu County, Taiwan, the brand has expanded to over 2,500 outlets across 38 countries, making it the world's largest teahouse franchise.

Chatime began its international expansion in 2009, opening its first overseas store in California, USA. The franchise offers a diverse menu that includes bubble tea, flavored teas, fruit-infused beverages, and smoothies, catering to a wide range of taste preferences.

A hallmark of Chatime's offerings is the ability for customers to customize their drinks, selecting sugar levels, ice content, and a variety of toppings such as pearls (tapioca balls), jellies, and mousse.

What sets Chatime apart from its competitors is its unwavering commitment to quality and innovation. The company ensures that its teas are brewed fresh every four hours, guaranteeing vibrant flavors and aromas in every cup.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Type of Expenditure Amount
Initial Franchise Fee $54,900
Initial Training, Opening Support and Related Personnel Cost $5,000
Rent $6,000 - $33,000
Lease Security Deposit $4,000 - $22,000
Storage Space Deposit $0 - $1,500
Leasehold Improvements $135,000 - $226,000
Equipment $33,500 - $46,000
External Signage $4,200 - $9,500
Opening Inventory and Supplies $10,000 - $16,000
Grand Opening Marketing $10,000
Licenses, Permits, and Utility Deposits $3,500 - $5,500
Technology Systems $10,500 - $14,000
Uniforms $500 - $1,500
Insurance $3,000 - $6,000
Professional Fees $1,000 - $5,000
Additional Funds – Three Months $12,000 - $24,000
Total Estimated Initial Investment $293,100 - $479,900
Type of Expenditure Amount
Initial Franchise Fee $54,900
Initial Training, Opening Support and Related Personnel Cost $5,000
Rent $6,000 - $33,000
Lease Security Deposit $4,000 - $22,000
Storage Space Deposit $0 - $1,500
Leasehold Improvements $135,000 - $226,000
Equipment $33,500 - $46,000
External Signage $4,200 - $9,500
Opening Inventory and Supplies $10,000 - $16,000
Grand Opening Marketing $10,000
Licenses, Permits, and Utility Deposits $3,500 - $5,500
Technology Systems $10,500 - $14,000
Uniforms $500 - $1,500
Insurance $3,000 - $6,000
Professional Fees $1,000 - $5,000
Additional Funds – Three Months $12,000 - $24,000
Total Estimated Initial Investment $293,100 - $479,900

Franchise Disclosure Document

Number of units

Training

Chatime provides a comprehensive training program for its franchisees, which includes the following components:

  1. Initial Training:
    • A minimum of two weeks of continuous training, conducted in English, covering areas such as store operations, sales, staff training, inventory management, and local marketing.
    • The training is mandatory for franchisees, senior managers, and designated guarantors. It must be completed prior to the store's opening.
    • If the initial training is not successfully completed, additional training may be required at the franchisee’s expense.
  2. Continuing Training:
    • Franchisees and their senior managers may be required to participate in ongoing training programs throughout the term of the agreement.
    • These programs may be delivered in-person, virtually, or as blended learning sessions and are designed to ensure competency and operational excellence.
  3. Refresher and Additional Training:
    • The franchisor may mandate refresher courses or supplementary training programs as necessary. These may include advanced technical or orientation support.
    • Franchisees bear the cost of such training, including travel, accommodations, and meal expenses for attendees.
  4. On-the-Job and Hands-On Training:
    • On-site training may be provided by franchisor representatives to address specific operational needs or support the franchisee during the store opening.

Territory Protection

Chatime grants franchisees the right to operate within a designated territory, but it does not provide exclusive territory protection. This means that while a specific area is allocated to the franchisee in the agreement, they may face competition from other franchisees, outlets owned by Chatime, or other distribution channels controlled by the franchisor.

The boundaries of the designated territory are typically defined in the franchise agreement, but these rights are contingent on the franchisee complying with all contractual obligations.

Furthermore, Chatime reserves the right to adjust or terminate territorial rights if franchisees fail to meet the terms of their agreement. The franchisor also retains the ability to establish additional outlets or grant franchises within or near the designated area, based on its discretion.

Competitors

Below are some of

Chatime

key competitors in the

Coffee & Tea

sector.

Franchise
Franchisees
Initial fee
Total investment
Revenue
Upgrade
Gross Profit
Upgrade
EBITDA
Upgrade

16

New
+
33%
33%

$54,900

$293,000

$480,000

n.a.

$244,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Competitors

Tastea

Tastea is a beverage-and-snack café franchise offering customizable teas, smoothies, and bowls, serving health- and flavor-focused consumers, and known for bold visual branding, fresh mixes, and social-media-friendly store experience.

Franchisees

?

25
+
25%
25%
Investment

?

$252,000 - $1,392,000

Tom n Toms Coffee

Tom n Toms Coffee is a café franchise offering espresso drinks, pretzels, breads, and light bites, serving students and urban professionals, and known for spacious cafés, extended hours, and a Korean coffeehouse heritage.

Franchisees

?

12
+
71%
71%
Investment

?

$370,000 - $487,000

Feng Cha

Feng Cha is a tea café franchise offering handcrafted milk teas, fruit teas, and desserts, serving tea lovers and social café guests, and known for creative toppings, seasonal menus, and modern, photogenic store designs.

Franchisees

?

72
+
188%
188%
Investment

?

$194,000 - $512,000

illy

illy is a premium café franchise offering espresso beverages, coffee, pastries, and packaged products, serving coffee connoisseurs and travelers, and known for Italian espresso heritage, design-driven cafés, and consistently high-quality blends.

Franchisees

?

17
+
31%
31%
Investment

?

$402,000 - $2,006,000

Ding Tea

Ding Tea is a bubble tea franchise offering milk teas, fruit teas, and specialty drinks, serving boba enthusiasts and casual café guests, and known for customizable sweetness, premium teas, and an international brand footprint.

Franchisees

?

135
+
16%
16%
Investment

?

$195,000 - $324,000

Qahwah House

Qahwah House is a specialty coffee shop franchise offering authentic Yemeni coffee, baked goods, and café experiences, serving coffee enthusiasts and communities, and known for premium sourcing, cultural heritage, and welcoming hospitality.

Franchisees

?

18
+
500%
500%
Investment

?

$573,000 - $939,000