About Hechalou International Franchise
Hechalou International, operating under the parent company HechalouTea Co., is a specialty tea franchise bringing unique tea beverages and related products to the American market.
The brand offers a curated menu of tea based drinks that draw from Asian tea traditions, catering to the growing consumer demand for premium and specialty tea experiences.
The franchise fee for a Hechalou location is $40,000.
Hechalou International Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Revenue of gross sales | Ongoing; paid monthly |
| Total Investment Range | $266,000 – $471,500 | Includes build-out, inventory, working capital |
The investment range of $266K–$472K reflects variability in build-out costs, store size, lease terms, and market. The ongoing royalty fee is 5% of Gross Revenue of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee (Note 1) | $40,000 | $40,000 |
| Tea Shop Pre- Opening Fee (Note 2) | $3,000 | $3,000 |
| Your Initial Training Expenses for Our Trainers (Note 3) | $12,000 | $17,000 |
| Rent & Deposit (Note 4) | $4,000 | $10,000 |
| Architects Fees, Engineering Plans, Construction, Remodeling, Decorating, Signage, | $100,000 | $200,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | $20,000 |
| Technology Fee | $4,000 |
| Interest | Lower of 1.5% per month or highest rate permitted by law (note 4) |
| Additional On-Site Training/Consultation Fees and Possible Expenses | $400 |
| Tea Shop Pre- Opening Fee (Note 2) | $3,000 |
| Your Initial Training Expenses for Our Trainers (Note 3) | $12,000 |
| Rent & Deposit (Note 4) | $4,000 |
| Architects Fees, Engineering Plans, Construction, Remodeling, Decorating, Signag | $100,000 |
| Equipment | $40,000 |
| Opening Inventory and Supplies (Note 6) | $20,000 |
| Insurance (Note 7) | $8,000 |
| Security and Utility Deposits, Licenses, Permits, Certificates and other Prepaid | $10,000 |
| Legal, Accounting Costs (Note 9) | $5,000 |
| Additional Funds for 3 months (Note 11) | $20,000 |
| TOTAL (Note 12, Note 13 and Note 14) | $266,000 |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | exclusive |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Renewal Term | If you meet all conditions, you may renew the Franchise Agreement for an additional term of 5 years. |
| Termination for Cause | We reserve the right to terminate the Franchise Agreement if you default on any of your obligations. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Does not offer financing. |
Hechalou International Franchise Earnings — Item 19
Hechalou International does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Hechalou International Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Hechalou International System Growth
Hechalou International currently operates 0 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | ||
| 2021 | 0 | ||
| 2021 | 0 | ||
| 2022 | 0 | ||
| 2022 | 0 | ||
| 2022 | 0 | ||
| 2023 | 0 | ||
| 2023 | 0 | ||
| 2023 | 0 |
Hechalou International Franchise — FAQ
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