Teazzi franchise
2023 filing · September 20, 2023
Teazzi at a glance
A tea shop serving Taiwanese-style boba teas and infused tea drinks with toppings. At the end of 2022 there were 3 Teazzi locations in the US, all company-owned.
The business
- Franchisor
- Teazzi USA LLC
- The company that sells the franchises
- Franchisor based in
- Somerset, New Jersey
- Typical size
- 500–1,500 sq ft
What you pay
- Cost to open
- $288K–$612K
- Fee, build-out and opening working capital
- Franchise fee
- $50,000
- Paid once, when you sign
- Royalty
- 4%
- 4% of gross sales, paid monthly
- Brand fund
- None now
- Up to 1% of gross sales, not charged at present
- Renewal fee
- $5,000
- When the agreement ends and you sign again
- Agreement length
- 5 years
- Territory
- Protected
- Protected territory
- Franchisor financing
- None offered
Where it is
- US locations, 2022
- 3
- Franchised and company-owned
- Franchised
- 0
- Company-owned
- 3
- Change in 3 years
- 0
- Franchised locations, 2020–2022
- States
- 1
- Most in New York
From Teazzi USA LLC’s 2023 filing; SBA status from the SBA Franchise Directory, October 28, 2026.
Where it ranks
Teazzi among all franchises with the same figure.
| Figure | Teazzi | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $449,875 | Costs more than 59% of franchises |
| Franchise feePaid once, when you sign | $50,000 | Higher than 70% of franchises |
| RoyaltyShare of sales paid to the franchisor | 4% | Lower than 93% of brands with a set rate |
| US locationsFranchised and company-owned | 3 | Fewer than 78% of franchises |
How much a Teazzi franchise costs
Opening one Teazzi costs an estimated $288,250 to $611,500. That covers the franchise fee and everything else needed to open, through the first months of working capital.
The biggest costs are construction and leasehold improvements ($60,000 to $150,000) and initial inventory ($100,000 to $150,000). Here is every line of the estimate as filed:
| What it pays for | Range | Low | High |
|---|---|---|---|
| Initial Franchise Fee | $50,000 | ||
| Construction and Leasehold Improvements | $60,000 | $150,000 | |
| Lease Deposits and Rent – Three Months | $4,000 | $30,000 | |
| Furniture, Fixtures and Equipment | $20,000 | $80,000 | |
| Signage | $3,000 | $5,000 | |
| Computer, Software and Point of Sales System | $2,500 | $5,000 | |
| Grand Opening Marketing | $2,000 | $10,000 | |
| Initial Inventory | $100,000 | $150,000 | |
| Utility Deposits | $500 | $3,000 | |
| Insurance Deposits – Three Months | $500 | $2,000 | |
| Travel for Initial Training | $7,500 | $10,000 | |
| Professional Fees | $7,500 | $15,000 | |
| Licenses and Permits | $500 | $750 | |
| Printing, Stationery, and Office Supplies | $250 | $750 | |
| Additional Funds – Three Months | $30,000 | $100,000 | |
| Total | $288,250 | $611,500 | |
Source: Teazzi USA LLC, 2023 filing, page 17
Teazzi franchise fee
The franchise fee is $50,000. You pay it when you sign the franchise agreement.
Source: Teazzi USA LLC, 2023 filing, page 12
Royalty and ongoing fees
| Royalty | 4% of gross sales, paid monthly. |
|---|---|
| Brand or marketing fund | Up to 1% of gross sales, not charged at present. |
| Technology | Up to $500 per month |
| Renewal | $5,000 |
| Additional Employee Initial Training | Our then current training fee, currently $300 per person per day |
| Franchisee Directed Local Marketing | 2% of Gross Sales |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: Teazzi USA LLC, 2023 filing, page 13
Other fees as filed, from pages 13–15. The filing lists every fee, including late fees and audit costs.
Sales and earnings
No figures Teazzi 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: Teazzi USA LLC, 2023 filing, page 48
- Estimate Estimated yearly sales per location
- $660K–$1.2M
Estimated from the sales that 292 comparable franchises file, matched on industry, format, cost to open, fees and size.
How Teazzi compares
Of the 56 bubble tea franchises on this site, Teazzi is the 34th cheapest to open and the 43rd largest by number of locations.
| Figure | Teazzi | Typical bubble tea brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $288K | $264K | $222K |
| Cost to open, high end | $612K | $502K | $477K |
| Franchise fee | $50K | $40K | $40K |
| Royalty | 4% | 5% | 6% |
| US locations | 3 | 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 |
|---|---|---|---|---|
| 2020 | 0 (0) | 2 | 0 | 0 |
| 2021 | 0 (0) | 3 | 0 | 0 |
| 2022 | 0 (0) | 3 | 0 | 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: Teazzi USA LLC, 2023 filing, page 49
Where Teazzi locations are
At the end of 2022, Teazzi had locations in 1 state. The most are in New York.
- New York3
| State | Franchised | Company-owned | Total |
|---|---|---|---|
| New York | 0 | 3 | 3 |
Source: Teazzi USA LLC, 2023 filing, page 49
Who owns Teazzi?
Teazzi franchises are sold by Teazzi USA LLC. Its filing names no parent company.
From Teazzi USA LLC’s 2023 filing, page 8.
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: Teazzi USA LLC, 2023 filing, litigation on page 11, bankruptcy on page 11
Teazzi filings
The figures on this page come from Teazzi USA LLC’s 2023 filing, issued September 20, 2023, on record with the NASAA Electronic Filing Depository.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2023 filing | September 20, 2023 | NASAA depository | Costs, fees and locations, 2020–2022 |
Each link opens the filing as a PDF. See the newest filings across all brands.
Other bubble tea franchises
All bubble tea franchises
Teazzi is also on these lists: food franchises.