Happy Lemon

Happy Lemon Franchise FDD, Costs & Fees (2025)

Happy Lemon is a bubble tea franchise known for its freshly brewed teas, salted cheese drinks, and innovative fruit-based beverages.

Founded in 2006 by the Yummy-Town Group—a publicly listed company rooted in Taiwan's rich tea culture—Happy Lemon has rapidly emerged as a leading international beverage chain.

The brand's mission is to modernize tea drinking culture and spread it globally, one cup at a time. Happy Lemon began franchising in 2006, offering entrepreneurs the opportunity to join a growing global brand with a loyal customer base.

With a strong emphasis on freshness, quality, and innovation, Happy Lemon has successfully brought its unique beverages to tea lovers around the world.

Happy Lemon offers an extensive menu that includes a variety of freshly brewed teas, innovative beverages, and unique snacks. Their offerings feature the renowned Salted Cheese Series, Classic Milk Tea Series, Fresh Lemon Series, Slushy Series, Smoothie Series, Specialty Series, and Waffle Series.

A hallmark of Happy Lemon's innovation is the creation of the Rock Salt Cheese Tea, a distinctive blend that has garnered international acclaim and set the brand apart from competitors.

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 $30,000
Technology Set-Up Fee $20,000
Store Pre-Opening Fee $30,000
Your Initial Training Expenses for Your Personnel $12,000 - $16,000
Rent & Deposit $4,000 - $10,000
Architects Fees, Engineering Plans, Construction, Remodeling, Decorating, Signage, Leasehold Improvements, Fixtures and Furniture $100,000 - $250,000
Equipment $40,000 - $65,000
Opening Inventory and Supplies $15,000 - $45,000
Insurance $8,000 - $12,000
Security and Utility Deposits, Licenses, Permits, Certificates and other Prepaid Expenses $10,000 - $15,000
Legal, Accounting Costs $5,000 - $7,500
Computers, Point of Sale System and Related Software $4,000 - $6,000
Additional Funds for 3 months $20,000 - $80,000
Total $298,000 - $586,500

Franchise Disclosure Document

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Competitors

Below are some of

Happy Lemon

key competitors in the

Coffee & Tea

sector.

Started franchising
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Franchise fee

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Royalty fee

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Revenue (AUV)

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Gross Profit

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EBITDA

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Home-based

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Passive investment

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FDD
Happy Lemon
2017
106
+
16%
16%
$30,000
7.00%

$298,000

-

$587,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Upgrade
Upgrade
2011
5
+
67%
67%
$30,000
6.00%

$88,000

-

$517,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Upgrade
Upgrade
2011
76
+
62%
62%
$45,000
5.00%

$466,000

-

$597,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Upgrade
Upgrade
2017
14
+
17%
17%
$35,000
6.00%

$244,000

-

$490,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Upgrade
Upgrade
2020
5
+
150%
150%
$30,000
6.00%

$269,000

-

$576,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

No
Upgrade
No
Yes
Upgrade
Yes
2017
18
+
125%
125%
$35,000
6.00%

$1,594,000

-

$3,314,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Upgrade
Upgrade
2020
2
+
n.a.
n.a.
$50,000
6.00%

$155,000

-

$299,000

$xxx,xxx

n.a.

$0

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Upgrade
Upgrade

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Total investment

?

Revenue (AUV)

?

Revenue growth (last 3 years)

?

Profit margin

?

Franchise Disclosure Documents
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Watchlist

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Priority support

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Training

The Happy Lemon franchise offers several types of training programs to support franchisees in operating their stores efficiently. Here are the main types of training provided by the Franchisor:

  1. Initial Training Program
    This is mandatory for the Designated Owner and at least one Store Manager. The program includes approximately 3 weeks of training delivered at the franchisor’s facilities in the United States, at the franchisee’s store site, and/or online. The curriculum covers:
    • Introduction to the Happy Lemon system and concept
    • Product training, including recipes, SOPs, food safety, and customer service
    • Business management, covering order procedures, reporting, floor management, and preparation notices
    • Pre- and post-grand opening assistance
  2. Remedial Training
    If a store is not operating according to Happy Lemon standards, the Franchisor may require the Designated Owner or Store Manager to undergo remedial training. Franchisees are responsible for paying the applicable fees and covering their own travel and living expenses.
  3. Additional Instructional Programs and On-Site Consultation
    These are offered at the Franchisor’s discretion and may include online modules or sessions at headquarters. Fees may apply for participation, and franchisees must also cover incidental costs like transportation and lodging.

Territory Protection

The Happy Lemon franchise does not offer territory protection to its franchisees. Franchisees are explicitly informed that their license to use the Happy Lemon brand and system is non-exclusive.

This means that the franchisor and its affiliates reserve the right to open or operate additional stores, or license others to do so, within any geographic area, including near existing franchises.

There are no guarantees of an “exclusive,” “protected,” or “reserved” territory under the franchise agreement. As a result, franchisees should be prepared for potential competition from other franchisees or company-owned stores in their vicinity.

Number of units

2025
Franchised units

91

106

106

Company-owned units

5

5

9

Total units

96

111

115

Competitors

Kahala Coffee Traders

Franchisees

?

5
+
67%
67%
Investment

?

$88,000 - $517,000

It's Boba Time

Franchisees

?

76
+
62%
62%
Investment

?

$466,000 - $597,000

7 Leaves

Franchisees

?

14
+
17%
17%
Investment

?

$244,000 - $490,000

Junbi

Franchisees

?

5
+
150%
150%
Investment

?

$269,000 - $576,000

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