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Tiger Sugar Franchise FDD, Costs & Fees (2025)

Tiger Sugar offers a variety of bubble tea drinks with a focus on unique flavors and high-quality ingredients, providing a refreshing and trendy beverage option.

KEY FRANCHISE STATS

Franchisees

?

47
+
147%
147%
Franchise fee

?

$85,000
Investment

?

$306,000 - $542,000
Revenue (AUV)

?

Undisclosed

$0

+
n.a.
n.a.

Founded in 2017 in Taichung, Taiwan, Tiger Sugar has quickly become a prominent name in the global dessert beverage scene, best known for its signature brown sugar boba milk tea. What started as a local favorite soon turned into an international brand, with its headquarters now based in Flushing, New York.

The company began offering franchise opportunities in 2020, allowing business owners across the globe to introduce Tiger Sugar’s distinctive drinks to new markets. Its expansion has been fueled by a loyal fan base drawn to its unique and flavorful offerings.

At the heart of the brand’s success is its iconic brown sugar boba milk. This drink is crafted through a proprietary 8-hour preparation technique that involves slow-cooking syrups and tapioca pearls. The result is a perfectly balanced combination of tea, milk, and syrup that delivers a rich and satisfying taste experience 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 $85,000
Initial Training and Support Fee $15,000
Store Design Fee $6,000
Business Licenses & Permits $6,000 to $20,000
Leasehold Improvements $50,000 to $180,000
Fixtures, Furnishings & Equipment $45,000 to $50,000
Computer and Point of Sale System $3,000 to $5,000
Architect/Engineering Fees $0 to $14,000
Rent, Security Deposits and Utility Deposits $5,000 to $20,000
Other Professional Fees $1,000 to $5,000
Insurance Deposit $1,000 to $2,000
Initial Inventory of Food, Beverage, Paper Supplies and Smallwares $25,000 to $30,000
Training Expenses $500 to $5,000
Grand Opening Advertising $3,000 to $5,000
Additional Funds (for the initial 3 months of operations) $60,000 to $100,000
TOTAL ESTIMATED INITIAL INVESTMENT $305,500 to $542,000

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Type of Expenditure Amount
Initial Franchise Fee $85,000
Initial Training and Support Fee $15,000
Store Design Fee $6,000
Business Licenses & Permits $6,000 to $20,000
Leasehold Improvements $50,000 to $180,000
Fixtures, Furnishings & Equipment $45,000 to $50,000
Computer and Point of Sale System $3,000 to $5,000
Architect/Engineering Fees $0 to $14,000
Rent, Security Deposits and Utility Deposits $5,000 to $20,000
Other Professional Fees $1,000 to $5,000
Insurance Deposit $1,000 to $2,000
Initial Inventory of Food, Beverage, Paper Supplies and Smallwares $25,000 to $30,000
Training Expenses $500 to $5,000
Grand Opening Advertising $3,000 to $5,000
Additional Funds (for the initial 3 months of operations) $60,000 to $100,000
TOTAL ESTIMATED INITIAL INVESTMENT $305,500 to $542,000

Franchise Disclosure Document

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Number of units

Training

Tiger Sugar provides a structured set of training programs to prepare franchisees and their teams for operating a store. The training includes both mandatory and optional components, each designed to ensure consistency and operational readiness across locations.

  1. Initial Training Program: Franchisees, their Designated Principals, and General Managers must attend a two to three-week initial training program provided by Tiger Sugar at a designated location. This training includes instruction on store operations and the proprietary system, and must be completed at least 30 days prior to the store opening.
  2. Pre-Opening and Opening Assistance: Tiger Sugar offers on-site assistance during the pre-opening and grand opening phase. Representatives are sent to help establish standard operating procedures and assist in staff training, though franchisees must cover any travel-related expenses if additional days are requested.
  3. Refresher Training: Franchisees may be required to attend annual refresher courses, seminars, or conventions. This training is typically limited to four days per person each year, with an additional three days allowed for attending conventions.

Territory Protection

Tiger Sugar provides a form of territory protection to its franchisees, but it comes with significant limitations. Franchisees generally receive a defined Territory as outlined in their Franchise Agreement, within which Tiger Sugar agrees not to establish or license another traditional Tiger Sugar store.

This protection is not contingent on sales performance, and once granted, the territory boundaries cannot be altered before the agreement ends.

However, this protection does not equate to exclusivity. Tiger Sugar retains the right to operate or license stores at Non-Traditional Sites—like airports, hospitals, malls, or stadiums—even if those sites fall within the defined Territory.

Competitors

Below are some of

Tiger Sugar

key competitors in the

Coffee & Tea

sector.

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

47

New
+
147%
147%

$85,000

$306,000

$542,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Competitors

TPTEA Tea Shop

TPTEA Tea Shop is a Taiwanese bubble-tea franchise offering premium brewed tea, milk tea and tapioca drinks, serving global tea lovers and on-the-go customers, and known for strong tea bases, efficient service and authentic Taiwanese tea craftsmanship.

Franchisees

?

16
+
78%
78%
Investment

?

$425,000 - $447,000

Peet's Coffee

Peet's Coffee is a specialty coffeehouse franchise offering handcrafted espresso drinks, brewed coffees, and light café fare, serving serious coffee lovers and commuters, and known for dark, deeply roasted beans, rigorous sourcing, and influential West Coast coffee heritage.

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$1,035,000 - $1,697,000

Sugar Llamas

Sugar Llamas is a dessert and coffee franchise offering made-to-order mini donuts, ice cream and espresso drinks, serving families, students and late-night snackers, and known for whimsical llama branding, hot bite-sized donuts and colorful, Instagrammable combinations.

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$252,000 - $368,000

Molly Tea

Molly Tea is a modern chain tea-shop franchise offering jasmine-based milk teas, floral fruit teas, and specialty drinks, serving young bubble-tea fans worldwide, and known for jasmine-forward aroma, elegant branding, and lifestyle-oriented, photogenic store environments.

Franchisees

?

1
+
n.a.
n.a.
Investment

?

$528,000 - $1,108,000

Delah Coffee

Delah Coffee is a specialty coffeehouse franchise offering Yemeni-inspired coffee, espresso drinks, and light bites, serving coffee enthusiasts and social café guests, and known for authentic Arabic coffee traditions, carefully sourced beans, and welcoming, culture-rich spaces.

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$282,000 - $424,000

Arwa Coffee

Arwa Coffee is a specialty coffee brand offering Yemeni-inspired coffees, espresso drinks, and café fare, serving commuters and neighborhood guests, and known for drive-thru convenience, ethically sourced beans, and highlighting the heritage and flavors of Yemeni coffee culture.

Franchisees

?

1
+
n.a.
n.a.
Investment

?

$243,000 - $610,000

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