Ume Tea franchise
2025 filing · April 20, 2025Growing
Ume Tea at a glance
A tea shop serving fresh milk teas, fruit teas and smoothies for dine-in, take-out and delivery. At the end of 2024 there were 13 Ume Tea locations in the US, 2 franchised and 11 company-owned, so most are run by the company itself.
The business
- Franchisor
- UMETEACA Inc
- The company that sells the franchises
- Franchising since
- 2024
- Franchisor based in
- San Leandro, California
What you pay
- Cost to open
- $161K–$427K
- Fee, build-out and opening working capital
- Franchise fee
- $30,000
- Paid once, when you sign
- Royalty
- 4%
- 4% of gross sales, paid weekly
- Brand fund
- None now
- No brand fund
- Renewal fee
- $5,000
- When the agreement ends and you sign again
- Agreement length
- 5 years
- Franchisor financing
- None offered
Where it is
- US locations, 2024
- 13
- Franchised and company-owned
- Franchised
- 2
- Company-owned
- 11
- Change in 3 years
- +2
- Franchised locations, 2022–2024
- States
- 2
- Most in Arizona and California
From UMETEACA Inc’s 2025 filing; SBA status from the SBA Franchise Directory, October 28, 2026.
Where it ranks
Ume Tea among all franchises with the same figure.
| Figure | Ume Tea | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $293,900 | Costs less than 57% of franchises |
| Franchise feePaid once, when you sign | $30,000 | Lower than 72% of franchises |
| RoyaltyShare of sales paid to the franchisor | 4% | Lower than 93% of brands with a set rate |
| US locationsFranchised and company-owned | 13 | Fewer than 57% of franchises |
How much a Ume Tea franchise costs
Opening one Ume Tea costs an estimated $160,700 to $427,100. That covers the franchise fee and everything else needed to open, through the first months of working capital.
The biggest costs are leasehold/construction ($20,000 to $120,000) and equipment and smallwares ($20,000 to $50,000). Here is every line of the estimate as filed:
| What it pays for | Range | Low | High |
|---|---|---|---|
| Initial Franchise Fee | $30,000 | ||
| BUILD-OUT COSTS Utility Deposits, Fees & Licenses | $500 | $2,000 | |
| Pre-Construction Cost (Architect, Plans, Permits) | $2,000 | $30,000 | |
| Leasehold/Construction | $20,000 | $120,000 | |
| Equipment and Smallwares | $20,000 | $50,000 | |
| Signage(Interior & Exterior) | $2,000 | $20,000 | |
| Furniture and Fixtures | $3,000 | $15,000 | |
| Computers and Related Hardware and Software | $1,000 | $3,000 | |
| POS System and Software | $1,800 | $4,600 | |
| OTHER EXPENSES Opening Inventory | $20,000 | $40,000 | |
| Video Surveillance and Related Equipment | $300 | $1,000 | |
| Grand Opening Marketing | $1,000 | $5,000 | |
| Franchised Location (Lease Deposit and First 3 Months’ Rent) | $25,000 | $45,000 | |
| Insurance-Liability &Workers’ compensation (initial deposit) | $100 | $500 | |
| Legal Fees/Organizational Expenses | $1,000 | $5,000 | |
| Training Expenses | $3,000 | $6,000 | |
| Additional Funds (3 months) | $30,000 | $50,000 | |
| Total | $160,700 | $427,100 | |
Source: UMETEACA Inc, 2025 filing, page 17
Ume Tea franchise fee
The franchise fee is $30,000. You pay it when you sign the franchise agreement.
Source: UMETEACA Inc, 2025 filing, page 10
Royalty and ongoing fees
| Royalty | 4% of gross sales, paid weekly. |
|---|---|
| Brand or marketing fund | No brand fund |
| Computers and Related Hardware and Software | $1,000 |
| Renewal Fee (Franchise Agreement) | $5,000 |
| Local Advertising | Currently,1% of Gross Sales of the Ume Tea Store |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: UMETEACA Inc, 2025 filing, page 11
Other fees as filed, from pages 11–17. The filing lists every fee, including late fees and audit costs.
Sales and earnings
No figures Ume 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: UMETEACA Inc, 2025 filing, page 54
- Estimate Estimated yearly sales per location
- $480K–$830K
Estimated from the sales that 292 comparable franchises file, matched on industry, format, cost to open, fees and size.
How Ume Tea compares
Of the 56 bubble tea franchises on this site, Ume Tea is the 11th cheapest to open and the 17th largest by number of locations.
| Figure | Ume Tea | Typical bubble tea brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $161K | $264K | $222K |
| Cost to open, high end | $427K | $502K | $477K |
| Franchise fee | $30K | $40K | $40K |
| Royalty | 4% | 5% | 6% |
| US locations | 13 | 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 |
|---|---|---|---|---|
| 2022 | 0 (0) | 6 | 0 | 0 |
| 2023 | 0 (0) | 10 | 0 | 0 |
| 2024 | 2 (+2) | 11 | +2 | 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: smoothie and juice franchise costs and franchise failure rates.
Source: UMETEACA Inc, 2025 filing, page 55
Where Ume Tea locations are
At the end of 2024, Ume Tea had franchised locations in 2 states. The most are in Arizona and California.
- Arizona1
- California1
| State | Franchised |
|---|---|
| Arizona | 1 |
| California | 1 |
Source: UMETEACA Inc, 2025 filing, page 56
Who owns Ume Tea?
Ume Tea franchises are sold by UMETEACA Inc.
From UMETEACA Inc’s 2025 filing.
Lawsuits and bankruptcy
| Lawsuits and regulatory actions | Yes. The filing describes past or pending cases involving the franchisor, its affiliates or its executives on page 9. |
|---|---|
| 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: UMETEACA Inc, 2025 filing, litigation on page 9, bankruptcy on page 9
Ume Tea filings
The figures on this page come from UMETEACA Inc’s 2025 filing, issued April 20, 2025, on record with the NASAA Electronic Filing Depository.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2025 filing | April 20, 2025 | NASAA depository | Costs, fees and locations, 2022–2024 |
Each link opens the filing as a PDF. See the newest filings across all brands.
Other bubble tea franchises
All bubble tea franchises
Ume Tea is also on these lists: smoothie franchises, food franchises.