Chatime
Chatime Franchise, LLC offers franchises to operate Chatime Stores, which are beverage service establishments providing gourmet teas, bubble tea, smoothies, iced beverages, coffee and tea-based drinks, compatible food products, and related supplies, accessories, and gifts within designated territories. The business model includes single-unit franchises and multi-unit development agreements, emphasizing proprietary trademarks, uniform design, menu items, operational standards, training, and marketing programs. They target the general public in a highly competitive market for specialty beverages and snacks.
Disclaimer: This information was extracted using AI from public Franchise Disclosure Documents and should be independently verified. This is not financial or legal advice. Always review official FDD filings before making investment decisions.
Overview
Financial Requirements
5% royalty + 2% brand marketing fee + minimum 2% local marketing expenditure
Franchise Stats
Financial Performance
Item 19 Financial Performance
Data Based On: 5 Chatime franchise locations operating within the United States of America which have been operating more than 12 months in their current location and were operating as of December 31, 2024 under franchise agreements issued by us (Chatime Franchise LLC).
* Calculated average gross revenue from 5 individual franchise locations: (793037 + 476602 + 243569 + 210709 + 125407) / 5 = $369,864.80. Median gross revenue is the middle value of the sorted net sales data.
Extracted Item 19 Section
How Chatime Compares to Other Beverages Franchises
Key Insights
- Higher investment than 75% of Beverages franchises
- Top 10 largest franchise system in Beverages
| Franchise | Investment Range | Franchise Fee | Royalty | Locations |
|---|---|---|---|---|
Chatime Current | $293K - $480K | $55K | 5.0% | 16 |
| KUNG FU TEA | $169K - $378K | $37K | 4.0% | 385 |
| SHARETEA | $225K - $555K | $12K | 6.0% | 153 |
| DING TEA | $195K - $324K | $30K | N/A | 120 |
| FiiZ Drinks | $250K - $775K | $40K | 8.0% | 63 |
| BAMBU | $159K - $328K | $49K | 3.5% | 60 |
Beverages Average 20 franchises | $281K - $629K | $40K | 5.2% | - |
* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 20 Beverages franchises by location count.
Locations & Growth
Outlet Growth Over Time
Total outlets at end of each year
Geographic Distribution (2024)
Outlets by state across the United States
SBA Loan History
Historical SBA 7(a) loan data for Chatime franchisees (2019 - 2025)
Loans by Year
* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.
Franchisee Contacts
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Due Diligence
Litigation (Item 3)
No litigation involving franchisees reported in the FDD.
Bankruptcy (Item 4)
No bankruptcy history reported in the FDD.
System Health (Item 20)
Franchise system changes reported in the most recent fiscal year
Frequently Asked Questions
How much does it cost to open a Chatime franchise?
The total initial investment to open a Chatime franchise ranges from $293,100 to $479,900. This includes a franchise fee of $54,900. Ongoing royalty fees are 5.0% of gross sales.
How much revenue does a Chatime franchise make?
According to the 2025 FDD, the average gross revenue for a Chatime franchise is $369,864.8. The median revenue is $243,569.
How many Chatime franchise locations are there?
As of the 2025 FDD, Chatime has 16 franchise locations. The company has been franchising since 2023.
Can you get an SBA loan for a Chatime franchise?
Yes, SBA loans are available for Chatime franchises. Historical data shows 8 SBA 7(a) loans have been approved for Chatime franchisees, with an average loan amount of $237,263. The historical default rate is 0.0%.
Is Chatime a good franchise to buy?
Chatime shows several positive indicators: transparent financial performance data (Item 19), low SBA loan default rate. However, franchise success depends on many factors including location, local market conditions, and owner involvement. We recommend speaking with existing franchisees and consulting with a franchise attorney before making a decision.
Interested in Chatime?
Talk to a franchise advisor to get personalized guidance and learn if Chatime is the right fit for you.
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