Kung Fu Tea franchise
Kung Fu Tea is a bubble tea chain serving milk teas, fruit teas, slushes and coffee with toppings like boba and jelly. Shops can be co-branded with TKK Fried Chicken or Yasubee Ramen. At the end of 2025 there were 346 Kung Fu Tea locations in the US, 344 franchised and 2 company-owned.
- Cost to open
- $169K–$378K
- Franchise fee
- $37,000
- Royalty
- 4%
- Locations, 2025
- 346+6 in 3 yrs
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Company snapshot
- Franchisor based in
- New York, New York
- Agreement length
- 10 years
- Territory
- Protected territory, half a mile in cities, a mile in suburbs
- Financing
- None offered
From KF Tea Franchising LLC’s 2026 filing.
How much a Kung Fu Tea franchise costs
Opening a standard Kung Fu Tea shop costs an estimated $169,000 to $378,000. That covers the franchise fee and everything else needed to open, through the first months of working capital.
Source: KF Tea Franchising LLC, 2026 filing, page 20
Kung Fu Tea franchise fee
The franchise fee is $37,000, ($25,000 for existing franchisees and non-traditional units), plus a $12,500 training fee. You pay it when you sign the franchise agreement.
Source: KF Tea Franchising LLC, 2026 filing, page 12
Royalty and ongoing fees
| Royalty | 4% of gross sales, paid monthly. |
|---|---|
| Brand or marketing fund | A 2% marketing fee, paid monthly. |
Source: KF Tea Franchising LLC, 2026 filing, page 14
Sales and earnings
No figures Kung Fu Tea does not share sales or profit figures for its locations. Talking to current and former franchise owners is the usual way to learn what a location earns.
Source: KF Tea Franchising LLC, 2026 filing, page 53
Locations opened and closed
| Year | Franchised | Company-owned | Closed |
|---|---|---|---|
| 2023 | 378 (+40) | 2 | 20 |
| 2024 | 387 (+9) | 2 | 28 |
| 2025 | 344 (−43) | 2 | 60 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
Source: KF Tea Franchising LLC, 2026 filing, page 54
How Kung Fu Tea compares
Of the 86 food franchises on this site, Kung Fu Tea is the 3rd cheapest to open and the 62nd largest by number of locations.
| Measure | Kung Fu Tea | Typical food |
|---|---|---|
| Cost to open, low end | $169K | $552K |
| Royalty | 4% | 5.5% |
| Closed or left per year | 9.6% | 2.5% |
| Change in franchised locations, 3 yrs | +1.8% | +6.5% |
| Shares earnings figures | No | 73 of 86 |
Typical is the median across the 86 brands in food franchises.
Other food franchises
Kung Fu Tea franchise questions
Does Kung Fu Tea help with financing?
No. Kung Fu Tea does not offer financing or guarantee loans or leases, so buyers arrange their own, usually a bank or SBA loan.
Do Kung Fu Tea franchisees get a protected territory?
Yes. Kung Fu Tea assigns a protected territory (half a mile in cities, a mile in suburbs) where it won't open or license another location while you meet the agreement's terms.
How long is a Kung Fu Tea franchise agreement?
The initial term is 10 years. Renewal is usually possible if you're in good standing, often for a fee and a remodel.
Is Kung Fu Tea growing or shrinking?
Over the last 3 years 114 franchised locations opened and 108 closed or left, a net change of +1.8%. About 9.6% of locations closed or left each year. That is above the 2.5% typical for food franchises.
How does Kung Fu Tea compare with other food franchises?
Of the 86 food franchises here, Kung Fu Tea is the 3rd cheapest to open (low end $169K against a $552K median) and the 62nd largest by number of locations. Its 4% royalty is below the 5.5% median.
Does Kung Fu Tea say how much franchisees make?
No, Kung Fu Tea doesn't publish sales or profit figures for its locations, while 73 of the 86 food brands here do. Current and former owners are the best source.
Where is Kung Fu Tea based?
KF Tea Franchising LLC is based in New York, New York.