Presotea franchise
2022 filing · April 18, 2022Growing
Presotea at a glance
A made-to-order fresh brewed tea shop. At the end of 2021 there were 8 Presotea locations in the US, all franchised.
The business
- Franchisor
- Kee & Associates International LLC
- The company that sells the franchises
- Franchising since
- 2021
- Franchisor based in
- Huntington Beach, California
- Typical size
- 400–1,500 sq ft
What you pay
- Cost to open
- $208K–$457K
- A Presotea tea shop
- Franchise fee
- $70,000
- You also buy equipment, opening inventory and supplies from the franchisor's affiliate before opening
- Royalty
- 5%
- 5% of gross revenues, paid monthly, plus 2% to the advertising fund
- Brand fund
- 2%
- 2% of gross revenue, paid monthly
- Renewal fee
- $35,000
- When the agreement ends and you sign again
- Agreement length
- 6 years
- Territory
- Limited
- Limited protection
- Franchisor financing
- None offered
Where it is
- US locations, 2021
- 8
- Franchised and company-owned
- Franchised
- 8
- Company-owned
- 0
- Change in 3 years
- +8
- Franchised locations, 2019–2021
- States
- 7
- Most in Michigan, Arizona and Colorado
From Kee & Associates International LLC’s 2022 filing; SBA status from the SBA Franchise Directory, October 28, 2026.
Where it ranks
Presotea among all franchises with the same figure.
| Figure | Presotea | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $332,600 | Costs less than 53% of franchises |
| Franchise feePaid once, when you sign | $70,000 | Higher than 95% of franchises |
| RoyaltyShare of sales paid to the franchisor | 5% | Lower than 69% of brands with a set rate |
| US locationsFranchised and company-owned | 8 | Fewer than 65% of franchises |
How much a Presotea franchise costs
Opening a Presotea tea shop costs an estimated $208,200 to $457,000. That covers the franchise fee and everything else needed to open, through the first months of working capital.
Source: Kee & Associates International LLC, 2022 filing, page 12
Presotea franchise fee
The franchise fee is $70,000, you also buy equipment, opening inventory and supplies from the franchisor's affiliate before opening. You pay it when you sign the franchise agreement.
Source: Kee & Associates International LLC, 2022 filing, page 9
Royalty and ongoing fees
| Royalty | 5% of gross revenues, paid monthly, plus 2% to the advertising fund. |
|---|---|
| Brand or marketing fund | 2% of gross revenue, paid monthly. |
| Transfer Fee | $20,000 |
| Renewal | $35,000 |
| Local Advertising and Marketing | 5% Gross Revenues |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: Kee & Associates International LLC, 2022 filing, page 10
Other fees as filed, from pages 10–11. The filing lists every fee, including late fees and audit costs.
Sales and earnings
No figures Presotea 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: Kee & Associates International LLC, 2022 filing, page 30
- Estimate Estimated yearly sales per location
- $430K–$750K
Estimated from the sales that 292 comparable franchises file, matched on industry, format, cost to open, fees and size.
How Presotea compares
Of the 56 bubble tea franchises on this site, Presotea is the 24th cheapest to open and the 26th largest by number of locations.
| Figure | Presotea | Typical bubble tea brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $208K | $264K | $222K |
| Cost to open, high end | $457K | $502K | $477K |
| Franchise fee | $70K | $40K | $40K |
| Royalty | 5% | 5% | 6% |
| Brand fund | 2% | 1% | 2% |
| US locations | 8 | 8 | 21 |
| Shares earnings figures | No | 19 of 56 | 2,147 of 3,352 |
Typical is the median across the 56 brands in bubble tea franchises; typical franchise, across every brand here.
Locations opened and closed
| Year | Franchised | Company-owned | Opened | Closed |
|---|---|---|---|---|
| 2019 | 0 (0) | 0 | 0 | 0 |
| 2020 | 0 (0) | 0 | 0 | 0 |
| 2021 | 8 (+8) | 0 | +8 | 0 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
See which brands grew most in the fastest-growing franchises rankings.
More in the guides: franchise failure rates.
Source: Kee & Associates International LLC, 2022 filing, page 31
Where Presotea locations are
At the end of 2021, Presotea had franchised locations in 7 states. The most are in Michigan, Arizona and Colorado.
- Michigan2
- Arizona1
- Colorado1
- Kansas1
- Nebraska1
- Oregon1
Source: Kee & Associates International LLC, 2022 filing, page 32
Who owns Presotea?
Presotea franchises are sold by Kee & Associates International LLC. Its filing names no parent company.
From Kee & Associates International LLC’s 2022 filing, page 7.
Lawsuits and bankruptcy
| Lawsuits and regulatory actions | None. The filing says no litigation has to be disclosed. |
|---|---|
| Bankruptcy | None. The filing says no bankruptcy has to be disclosed. |
Franchisors must disclose lawsuits and bankruptcies involving the company, its parents and affiliates, and its executives. Many cases are routine disputes with franchisees over fees or contracts; read the descriptions in the filing and ask current owners about anything that worries you.
Source: Kee & Associates International LLC, 2022 filing, litigation on page 9, bankruptcy on page 9
Presotea filings
The figures on this page come from Kee & Associates International LLC’s 2022 filing, issued April 18, 2022, on record with the NASAA Electronic Filing Depository.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2022 filing | April 18, 2022 | NASAA depository | Costs, fees and locations, 2019–2021 |
Each link opens the filing as a PDF. See the newest filings across all brands.
Other bubble tea franchises
All bubble tea franchises
Presotea is also on these lists: food franchises.