Teaspoon Franchise FDD, Costs & Fees (2025)

Teaspoon is a specialty tea franchise that serves handcrafted bubble teas and innovative beverages made with premium ingredients, offering a modern and refreshing tea experience.

Teaspoon is a women-owned bubble tea franchise that began in Los Altos, California, in 2015. Now headquartered in San Jose, California, Teaspoon has expanded its reach across the United States. Teaspoon began franchising in 2016 to share its successful model with others who are passionate about boba and community engagement.

The brand focuses on delivering handcrafted boba beverages that bring happiness to every customer.

Teaspoon's menu features a variety of bubble tea options, including milk teas, fruit teas, and snow ice desserts. Each drink is carefully prepared to ensure quality and taste. The franchise prides itself on creating a welcoming environment where customers can enjoy their favorite beverages.

What sets Teaspoon apart is its commitment to community and connection. The franchise model emphasizes care and gratitude, fostering strong relationships with customers and franchisees alike. This approach has helped Teaspoon serve over 5 million drinks and build a loyal customer base.

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 $45,000
Leased Real Estate $15,000 - $50,000
Training Program Expenses $5,000 - $20,000
Furniture, Fixtures, Equipment $40,000 - $80,000
Office Equipment, Supplies, POS System $4,500 - $13,000
Build Out, Improvements $80,000 - $230,000
Initial Inventory $5,000 - $15,000
Permits, Licenses, Insurance, Utility Deposits, Professional Fees $10,000 - $30,000
Marketing, Grand Opening Event, Social Media $10,000 - $15,000
Additional Funds and Working Capital for First Three Months $30,000 - $50,000
TOTAL $244,500 - $548,000
Type of Expenditure Amount
Initial Franchise Fee $45,000
Leased Real Estate $15,000 - $50,000
Training Program Expenses $5,000 - $20,000
Furniture, Fixtures, Equipment $40,000 - $80,000
Office Equipment, Supplies, POS System $4,500 - $13,000
Build Out, Improvements $80,000 - $230,000
Initial Inventory $5,000 - $15,000
Permits, Licenses, Insurance, Utility Deposits, Professional Fees $10,000 - $30,000
Marketing, Grand Opening Event, Social Media $10,000 - $15,000
Additional Funds and Working Capital for First Three Months $30,000 - $50,000
TOTAL $244,500 - $548,000

Franchise Disclosure Document

Number of units

Training

Teaspoon provides a thorough and structured training program for franchisees and their staff to ensure operational consistency and brand standards. Training must be completed to the Franchisor’s satisfaction before the franchisee begins operations.

  1. Initial Training Program
    Teaspoon offers approximately 94 hours of training covering business management and operations. This program is mandatory for the franchisee and one additional trainee, and can be conducted at designated Teaspoon locations in California or online, depending on the franchisee’s location and the Franchisor’s discretion.
  2. Start-Up Assistance
    The Franchisor provides around 40 hours of assistance at the franchise location (physically or online), helping the franchisee learn the operational procedures and establish standard practices.
  3. New Manager and Additional Training
    If a new manager is hired or if the Franchisor determines further training is needed, Teaspoon will provide this training per its then-current fee schedule. Franchisees may also request this training voluntarily.

Territory Protection

Teaspoon grants its franchisees a protected territory of 1.5 miles surrounding their approved location. Within this radius, the franchisor agrees not to establish another Teaspoon restaurant, offering a form of localized territorial protection.

This protection is only applicable after the franchisor has approved the specific site selected by the franchisee. Franchisees do not receive rights of first refusal or options to develop additional nearby franchises unless they sign a Multi-Unit Development Agreement (MUDA). Under a MUDA, the franchisee is given a larger defined territory with the obligation to open a specified number of locations within a certain timeframe.

After this period or upon completion of the development schedule, the additional territory rights expire, and the standard 1.5-mile protection applies only to each individual location.

Competitors

Below are some of

Teaspoon

key competitors in the

Coffee & Tea

sector.

Franchise
Franchisees
Initial fee
Total investment
Revenue
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Gross Profit
Upgrade
EBITDA
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37

New
+
164%
164%

$45,000

$245,000

$548,000

n.a.

$604,000

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Competitors

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

Kahala Coffee Traders

Kahala Coffee Traders is a coffee shop franchise serving premium coffee, espresso drinks, teas, and baked goods, backed by franchisor support, extensive training, and efficient operational systems.

Franchisees

?

5
+
67%
67%
Investment

?

$88,000 - $517,000