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Chatime

Information based on 2025 FDD
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Franzy Fit Score

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Brand Highlights
  • Founded in 2005
  • Franchising Since 2014
  • 16 US Franchises
  • $293,100 - $493,900 Investment Range
  • $793,037 Average Gross Revenue
  • 5% Royalty Fee
  • $54,900 Franchise Fee
Pre-qualification Amount

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Franzy Fit Score

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Brand Description

Chatime is a food service establishment offering gourmet coffees and teas, other coffee and tea-based beverages, bubble tea, compatible food products, coffee and tea makers, and related supplies, accessories, and gifts. The word ‘cha’ means ‘tea,’ so technically ‘chatime’ could be loosely translated into ‘teatime.’ But today, with over 1,500 locations around the globe, Chatime means so much more than that! Chatime is a Taiwanese franchise founded in 2005 with over 1,000 retail outlets across countries like Taiwan, Malaysia, China, India, Macau, Vietnam, Singapore, Hong Kong, Thailand, Korea, Philippines, Indonesia, Australia, Dubai, Vietnam, Canada, UK, Mexico and the United States. Chatime has become one of the largest bubble tea brands in the world and is a publicly traded company showing a quadrupled stock value in 2019 from its mother company La Kaffa. As one of the top beverage companies in the world, Chatime aims to be the most loved and accessible drink brand in the world, revolutionizing the tea drinking culture in the US!

DID YOU KNOW?

How much does it cost to start a franchise with Chatime?

$293,100
$493,900
Starting your own Chatime bubble tea franchise requires a total investment of $293,100 to $493,900, which covers everything from the $54,900 franchise fee to equipment, store buildout, and working capital needed to bring those Instagram-worthy milk teas and signature pearls to your local community.
Financial Summary
Franchise Fee
$54,900
Investment Range
$293,100 - $493,900
Investment Midpoint
$393,500
Minimum Cash Required
$293,100
Royalty Fees
5%
Brand Fund
2%
Brand Bragging Rights
Nearly 20 years of operational experience since 2005
Revenue performance 158% above subsector average at $793,037
Below-average investment requirement for accessible market entry
Diverse beverage portfolio spanning signatures, fruity, milky, frozen, and sparkling categories
Strong millennial and Gen-Z demographic appeal
Established loyalty program with member rewards and exclusive offers
Financial Analysis
Chatime requires an initial investment of $293,100 to $493,900, positioning it as a lower-tier, accessible option within the coffee and tea subsector where average investments range from $296,954 to $610,306. This below-average minimum investment makes it particularly attractive to qualified investors seeking entry into the rapidly expanding bubble tea market without premium capital requirements.

The bubble tea industry benefits from strong demographic tailwinds, particularly among Gen Z and millennial consumers who drive demand for customizable, Instagram-worthy beverages. Chatime's extensive menu—featuring signatures, fruity, milky, frozen, and sparkling options with various mix-ins including their newest strawberry chewy cubes—aligns perfectly with consumer preferences for personalized experiences.

With 22 active units and nearly two decades of operation since 2005, Chatime demonstrates operational stability while maintaining significant growth potential. The system's maturity provides proven operational frameworks, though the relatively modest unit count suggests substantial opportunities for market expansion and multi-unit development.

The reported location revenue of $793,037 substantially exceeds the subsector average of $307,288 by over 158%, indicating exceptional unit-level performance potential. This revenue performance, combined with the lower investment threshold, suggests attractive return potential for qualified operators.

The business model suits investors comfortable with beverage preparation, inventory management, and youth-oriented marketing. Prospective franchisees should thoroughly review the FDD and conduct comprehensive market analysis to evaluate local demographics and competition density before committing capital.
Expected Investment Range
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Average Gross Sales
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Financing
Financing Details

Franzy connects you with top-tier financing partners to help secure the funds to invest in a franchise like Chatime. Whether you're looking for a loan or exploring other financial products, our partners provide expert guidance to ensure you obtain the necessary capital. They specialize in offering solutions tailored to the needs of franchisees, making the process of securing financing smooth and straightforward.

Why Financing with Franzy Partners?

Choosing to finance through Franzy's partners ensures you get the best terms and support for your franchise investment. Our partners have extensive experience in the franchising industry and offer specialized financial solutions tailored to your needs. With competitive interest rates and flexible repayment options, you can find the right financing plan that fits your budget and goals. Our partners are committed to providing personalized guidance throughout the financing process, making it easier for you to secure the necessary funds and confidently move forward with your franchise venture.

Finance Partners
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FranFund

Financing Partner

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CRF USA

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First Bank of the Lake

Financing Partner

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Location Analysis
Chatime, established in 2005, maintains a significant presence across multiple states in the United States. The franchise demonstrates a broad national presence, with its strongest concentration in the Northeast, where Massachusetts and New York serve as key markets. The Midwest shows notable market penetration, particularly in Indiana, while the Southeast maintains an established presence anchored by Georgia. The brand demonstrates consistent coverage across other regions, including notable presence in Maryland, Missouri, and Colorado.

Customer satisfaction remains strong, evidenced by consistently positive ratings across numerous customer reviews. Chatime locations typically perform well in diverse metropolitan areas, particularly those with significant Asian-American populations, university presence, and high-density retail environments. The brand's expansion pattern suggests a strategic focus on markets with strong demographic alignment and robust foot traffic.

Growth opportunities exist for further market penetration, particularly in states with emerging presence such as Arizona, Michigan, and Tennessee. Prospective franchisees should consider locations in high-traffic retail centers, urban districts, and areas with strong millennial populations. The brand's current distribution pattern indicates potential for both market densification in established territories and strategic expansion into emerging markets with similar demographic profiles.
Total US Locations18
Open Franchises16
Corporate Locations2
Average Sq. Foot450
Territory Map

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Franchise Net Unit Growth
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Additional Information

Executive Team

Get to know the leadership behind Chatime. Learn about the experience and expertise of the executive team guiding Chatime's success. For more details, refer to Item 2 of the Franchise Disclosure Document (FDD).

Litigation

Review any legal actions or pending litigation involving Chatime. Understanding the legal history helps assess potential risks and the brand's business practices. For more details, refer to Item 3 of the Franchise Disclosure Document (FDD).

Bankruptcy

Review Chatime's bankruptcy history and any filings by key personnel or affiliates. This critical information provides transparency about the brand's financial stability and management. For more details, refer to Item 4 of the Franchise Disclosure Document (FDD).

Franchisor Assistance

Learn about Chatime's comprehensive support system for franchisees, including initial training programs and continuous operational assistance. Understanding the available resources and support structure is crucial for franchise success. For more details, refer to Item 11 of the Franchise Disclosure Document (FDD).

Frequently Asked Questions
Disclaimer

The information provided on this page is based on the latest Franchise Disclosure Document (FDD) we have on record, which was issued in 2025. This information is for informational purposes only and is not intended to constitute legal, financial, or business advice. We make no guarantees or claims regarding the completeness or accuracy. Only the franchisor can confirm that the information is complete and accurate and we recommend consulting the franchisor directly for the most recent FDD and regarding any questions that you may have about the information provided.

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