Gong cha franchise research

Investment by format

Format-specific estimates only. Do not combine one format's minimum with another format's maximum.

Investment sourceFDD p.31 ↗

Franchise fees and ongoing costs

Franchise fee

$37,000 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review.

Royalty

6% · 6% of weekly Net Sales, due 3rd Business Day of each week

Marketing contribution

1% (basis not captured; see original filing)

Technology fee

POS SaaS $328/month; intelligent beverage maker SaaS $313/year from year 2; operations management platform $40/month; online training platform $35/month

Other fees

Health and safety audits $480/year (3 audits); Late payment fee greater of 5% or $200 plus interest of 1.5%/month; Prohibited product fee $250/day

Working capital (FDD Item 7)

Additional Funds - 3 Months: $10,300 to $86,500 (first 3 months operating expenses such as additional rent, phone/internet, subscriptions, misc supplies; excludes owner salary, permits, and insurance premiums)

Fees sourceFDD p.22 ↗

Working capital is drawn from Item 7. The Investment source below locates the investment section, not an independently verified working-capital scalar.

Investment sourceFDD p.31 ↗

Franchise fee sourceFDD · page not captured ↗

Financial performance: Item 19

Item 19 captured

Yes

Metric / basis

Net Sales (gross revenue) of 2025 Established Gong Cha Stores: average, median, high, low, and by quartile; no profit or expense data

Reporting period

Calendar year 2025 (Jan 1 - Dec 31, 2025)

Sample

222 stores open for all of 2025 (29 direct unit franchisees, 28 master franchisees or their affiliates, 165 independent subfranchisees); excludes 17 stores opened in 2025 and does not adjust for 15 stores closed/terminated in 2025

Reported average

$396,887

Reported median

$363,373

Owner income is not captured. Gross sales and EBITDA are not owner pay. Results depend on the disclosed metric, sample and period; consult the full filing.

Item 19 performance sourceFDD p.77 ↗

Unit growth: Item 20

Reporting year

2025

Scope

franchised outlets

Starting outlets

4

Year-end outlets

36

Net change

+32

Derivation

ending minus starting outlets

Openings

32

Terminations

0

Non-renewals

0

Other closures

0

Reacquisitions

0

Transfers

0

Transfers are not closures. Net change is ending minus starting outlets for the stated scope and year, or complete openings less terminations, non-renewals, other closures and reacquisitions. Missing inputs stay unknown.

Unit growth sourceFDD p.78 ↗

SBA loan history

Loan activity

16 approvals

Activity window

FY2021-FY2026 YTD; snapshot 2026-06-30

Median SBA loan

$260,200

Median loan window

FY2023-FY2026 YTD through 2026-06-30

Median loan sample

11 loans

Historical charge-off share

Suppressed: fewer than 10 seasoned loans

Cohort

7(a) FY2010-2019 approvals

Numerator / denominator

0 / 1

Formula

CHGOFF / (PIF + CHGOFF + EXEMPT) × 100

This is a historical loan-level share, not a franchise failure probability or location survival rate. Loan size is not total investment. Other loan statuses are excluded from the seasoned denominator. Activity combines 7(a) and 504 approvals, excluding canceled and not-funded records; this is not a rolling five-year count. FY2024-25 franchise tags are sparse after directory suspension; fewer tagged loans do not establish brand decline. Recent charge-off cohorts are immature.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median loan amounts are financing context, not startup cost. The median window is separate from the seasoned charge-off cohort.

Median SBA loan sourceSBA data · Jun 30, 2026 ↗

Questions before you invest

How much does Gong cha franchise cost?

Single in-line store, leased 500-1,500 sq ft: $207,450 to $648,460 These are format-specific estimates, not a guaranteed cash requirement. Franchise fee: $37,000 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review..

Investment sourceFDD p.31 ↗

Franchise fee sourceFDD · page not captured ↗

How much do Gong cha owners make?

Owner income is not captured. Gross sales and EBITDA are not owner pay. Item 19 metric: Net Sales (gross revenue) of 2025 Established Gong Cha Stores: average, median, high, low, and by quartile; no profit or expense data. Sample: 222 stores open for all of 2025 (29 direct unit franchisees, 28 master franchisees or their affiliates, 165 independent subfranchisees); excludes 17 stores opened in 2025 and does not adjust for 15 stores closed/terminated in 2025. Period: Calendar year 2025 (Jan 1 - Dec 31, 2025).

Item 19 performance sourceFDD p.77 ↗

What's the SBA charge-off rate for Gong cha?

Suppressed: fewer than 10 seasoned loans; numerator / denominator: 0 / 1. Historical 7(a) FY2010-2019 approvals; CHGOFF / (PIF + CHGOFF + EXEMPT) × 100, snapshot 2026-06-30. This is not a franchise failure probability. Median SBA loan: $260,200; window: FY2023-FY2026 YTD through 2026-06-30; sample: 11 loans. Median financing is not total investment.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median SBA loan sourceSBA data · Jun 30, 2026 ↗