(In 2022)
- The minimum startup costs for a boba tea business: $12
- The maximum startup costs for a boba tea business: $37,876
- The average startup costs for a boba tea business: $19,815
Full Answer
How much does it cost to start a Boba tea business?
Rent costs for your boba tea business very much depends on your location. This cost will vary by both region and specific areas of town: a lease in the heart of Manhattan could cost over $80,000/month in rent. Meanwhile, a storefront lease in Florida or Tennessee could cost less than $1,000/month.
Should I buy a franchise of a bubble tea shop?
It is a fact that most business people would prefer to buy into the franchise of a successful bubble tea shop than opening their own business outright. If you want to join a brand, you have to pay the franchise cost and this make up a large percentage of your startup cost. Different brands will produce different brand costs.
What are boba shops?
At present Boba shops are now increasing not only in Taiwan, where Bubble tea originates, but in other countries as well. Bubble Milk Tea drink is a popular Taiwanese drink that is generally sold in Boba Shops. Boba shops are cafes that serve chewy tapioca balls in different varieties of flavor.
How much does it cost to open a restaurant franchise?
However, requirements in the restaurant or retail industry is a must for new franchisees. The initial franchise fee ranges from $20,000 to $30,000. And the total initial cost range from $163,250 to $361,600. 5. Bee & Tea
How much does it cost to franchise a boba?
Most bubble tea franchises cost between $75,000 and $500,000. Large locations and those in populous cities are likely to cost on the high end of that spectrum. Kiosks and stores in shopping centers or airports tend to cost less to get started. The majority can get up and running for between $125,000 and $200,000.
How profitable is a boba shop?
So bubble tea shops that have an average selling price of $5.00/cup of bubble tea and sell about 100 cups per day would make about $500/day x 350 days = $175,000 in annual revenue.
How much should you invest in a boba shop?
The initial costs of opening a boba shop can range anywhere from $15,000 to as much as $200,000. This range is so wide because there are many factors, such as location, construction and remodeling, business licenses, technology, boba tea equipment, ingredients, and staff.
How much does a boba time franchise make?
When you go to sell a Boba Time franchise based on the median multiple of 0.44 and net sales of $745,131, it would sell for $327,857. This is approximately the same as the midpoint initial investment of $368,412.
What are the weakness of milk tea shop?
Weakness/es It only offers milk tea. It doesn't have an actual shop to accommodate its customer. Its place is not convenient to its customer because it was located in a barrio. It doesn't offer variety of food and beverages.
How much capital do you need to start a milk tea business?
If you want to start your own Milk Tea Shop, you will invest for about 30,000 to 100,000 pesos but this is just a rough estimate. It depends on how big you want to start. Most small franchising companies offers 30,000 to 300,000 pesos packages.
Are tea shops profitable?
A tea shop on a busy intersection in a major city that offers lunch might have an annual profit of hundreds of thousands of dollars, while a shop in a small town that only sells tea might have a profit of tens of thousands of dollars after wages (including the owner's wages) and other expenses are accounted for.
How much does it cost to start a tea shop?
Ans- The lowest cost model and can be set up with a minimal investment of Rs. 50,000 for Tea Shop Business Plan or Chai Business in India. Tea is offered to the customers in paper cups or kulhads. The stalls can sell other items such as bread toast, cigarettes, tobacco, noodles, omelettes, along with tea.
Can I make my own Boba?
Cooking Boba Boil 8 cups of water and add the dry tapioca pearls. Allow this to cook on for 6-8 minutes on medium-high heat. Turn to low heat and allow this to cook for another 5-10 minutes. Remove the tapioca pearls from the boiling water once these begin to float to the surface.
Who is the owner of Boba Time?
John Kim - Owner at It's Boba time - Los Angeles, California, United States | LinkedIn.
How much profit does a tea shop make?
After calculating extra costs to this, a cup of tea would cost you around 3.5-5 Rupees. If you own a stall and sell a cup for 10-20 Rupees, you have a profit margin of about Rs. 15. For a Chai Business, where you can set higher prices, your profits could be up to 55-60 Rs per cup.
Are coffee shops profitable?
Coffee sells at higher profit margins than other food products, and coffee shops often operate with lower overhead than other business models. On average, small coffee shop owners make $60,000-$160,000 , and the coffee industry generates about $70 billion a year in sales nationwide .
What is the target market of milk tea?
Students are the target audience of milk tea, and the consumption scenario happens when customers go window- shopping. The concept of health is rooted in the customers when selecting the products. The leisure and casual atmosphere and environment are most significant when consumption occurs.
How much do bubble tea shops make UK?
Average sales for a well-run Bubble Tea shop would be between 150-350 cups a day. Positioned in a location that can maximise its potential, that amount could rise to a daily 500-1,500 cups. For a medium-sized serving, the average sale price in the UK is between £3.00 and £4.00.
What do I need to open a boba shop?
Equipment-wise, you’ll likely need a stove for brewing tea and making tapioca pearls. You should also consider tea shakers and blenders for specialty beverages.
How much does it cost to franchise Sharetea?
In fact, there are currently more than 100 stores throughout North America. So it’s an international brand with some current recognition in the U.S. The company has been in operation for more than 28 years. And the team provides site selection assistance, marketing plans, and comprehensive training for new tea franchises. The franchising fee is $22,500. And startup costs range from $260,000 to $360,000.
How much can you make owning a bubble tea shop?
Locations, prices, and costs play a major role. However, many stores make $3 or more per serving. And materials can cost $0.75 or less. If you sell 500 products per day, you could bring in more than $30,000 per month before factoring in other expenses.
How do I start a bubble tea business?
To start your own bubble tea business, you first need to scout locations. Find something in an upscale or touristy area with plenty of walkabilities. A popular downtown location would be ideal. Then you need to source equipment and supplies. This includes blenders, stoves, tea shakers, cups, straws, tea ingredients, and tapioca pearls. You’ll also need to take care of any licensing and inspection requirements in your area.
What is Boba Loca?
Boba Loca is a boba tea franchise that focuses on providing a welcoming customer experience. In addition to bubble tea, the company provides a wide array of snacks, juice, pastries, and a full espresso bar. Franchisees must work in their stores and previous restaurant or franchising background is preferred. But the company provides a dedicated process for getting new stores up and running. Currently, many of the franchise locations are in California. But there are opportunities available in other markets as well. The franchise fee is $14,000. And upfront costs range from $88,445 to $325,955.
What is bubbleology boba tea?
4. Bubbleology. Bubbleology is a boba tea franchise that is known for fresh tea and tapioca beverage options. In addition to bubble tea, the business also provides specialty waffle desserts that are especially shareable on social media. The company offers both single and multi-unit development opportunities.
What is the best bubble tea franchise?
Here are the best bubble tea franchise businesses for aspiring entrepreneurs to consider: 1. Gong Cha. Gong Cha is a boba franchise that focuses on quality ingredients and creative mixes. The chain offers special features like online ordering to make it easy for customers to keep returning for more bubble tea.
What states regulate franchises?
Currently, the following states regulate the offer and sale of franchises: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington, and Wisconsin. If you are a resident of or want to locate a franchise in one of these states, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your state.
Is Bubbleology a family friendly company?
Bubbleology™ Teas & Waffles are loved by people of all ages, and are served in a family-friendly environment. Together with our delicious drinks, waffles and brand experience, we have the perfect recipe for happy customers, which means healthy opportunities for franchise owners.
How much does a franchise cost?
Keep in mind that for brands with a larger popularity range, the franchise fees can range from $10000 to $20000, while for micro brands with smaller fame, it is relatively less, basically $5000-$10000 is enough, and even some brands are less than $5000.
What is Boba tea sealer?
Boba Tea Sealer Machines are a staple at any real bubble tea shop. They create an airtight seal giving your cups an authentic look and feel. Sealer machines also save money in the long run because plastic sealer film is cheaper than traditional lids. Tea Shaker Machines.
How much does a bubble tea shop charge?
There have been stories of locations that sell over 1,000 servings a day. On average, a store charges $3.00 – $3.50 USD for a serving of bubble tea (16oz or 20oz serving).
How much does it cost to open a bubble tea shop?
9 Factors That Determine How Much It Cost to Open a Bubble Tea Shop. When it comes to costs, a high end Bubble Tea Shop can cost over $100,000 to open and a franchise can cost even more. A successful bubble tea shop requires proper equipment, training and high quality ingredients, and these all cost money..
How much does it cost to get a business license?
Visit the U.S. Small Business Administration (SBA) website to find out the licensing requirements in your state. This should cost you about $750 or more.
How much money do you need to keep aside for a shop?
And you’ll spend more as your staffing needs increase. You need to keep aside around $25,000 or more for this, but that just depends of the size of your shop.
How much does it cost to open a store?
But if you are prudent with your costs, and depending on the area you want to open a shop, it is entirely possible to open up your own store for $10,000 – $40,000. When thinking of opening your store, there are a couple of things that can affect your startup cost and they include;
How much money do you need to open a bubble tea business?
To open up a bubble tea franchise, you will need a minimum of about $150,000. This money goes into paying the franchise fees, store rental, equipment, various startup fees, and to meet liquid reserve requirements. However, the above number is just an approximate starting point—the specific requirements will vary with each franchise.
Why is franchise important?
The franchise helps franchisees select the right location and there is a lot of room for negotiation regarding where one can open.
How much is bubble tea worth?
In 2019 the bubble tea market was valued at $2.4 billion and projected to grow to $4.3 billion by 2027 with a CAGR (compound annual growth rate) of 7.8%.
How much does kung fu tea cost?
The upfront costs are $37,000 for a traditional store purchase fee and $10,000 for the training fee.
Where was the first tapoica tea store?
The first Tapoica Express location opened in 1999 in the San Gabriel Valley making it one of the first bubble tea stores in the United States. Currently there are 38 Tapoica Express locations across California, Washington, and Texas.
How long is the food industry training program?
There is a 3-week training program and you don’t need previous experience in the food industry.
Is bubble tea franchise good?
Excellent bubble tea franchises provide enough so that the higher startup costs are justified, but that isn’ t always true. Franchise models are great for people that want to run a business without having to innovate for themselves. You’re given a proven strategy that you have to follow.
