About Tapster Franchise
Tapster is a self pour beer bar franchise featuring craft beers on tap along with imported, domestic, and local brews, plus a selection of wines, cocktails, kombucha, coffee, and food items ranging from light snacks to sandwiches.
Franchising since 2018, the brand's self pour technology puts the tapping experience directly in the hands of customers, creating an interactive and social atmosphere.
The initial franchise fee is $40,000.
Tapster Franchise Cost & Fees
Minimum Investment
$229K
Average Investment
$781K
Maximum Investment
$1.3M
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Sales; or $7,000 per month of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 2% of gross sales, or $2,800 per month | National brand fund |
| Total Investment Range | $229,200 – $1,332,000 | Includes build-out, inventory, working capital |
The investment range of $229K–$1.3M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Sales; or $7,000 per month) and marketing fee (Up to 2% of gross sales, or $2,800 per month) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Launch Fee | $15,000 | $15,000 |
| Real Estate/Rent | $5,000 | $25,000 |
| Utility Deposits | $100 | $1,000 |
| Leasehold Improvements | $25,000 | $500,000 |
| Initial Inventory | $5,000 | $20,000 |
| Insurance | $5,000 | $10,000 |
| Office Equipment and Supplies | $500 | $1,000 |
| Training | $2,000 | $3,000 |
| Signage | $300 | $10,500 |
| Furniture, Fixtures & Equipment | $50,000 | $300,000 |
| Pre-Opening Advertising | $25,000 | $30,000 |
| Uniforms | $150 | $500 |
| Menu Boards | $150 | $1,000 |
| Licenses & Permits | $5,000 | $250,000 |
| Professional Fees | $21,000 | $24,000 |
| Additional Funds (initial phase of operation - 3 months) | $30,000 | $100,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $20,000 |
| Renewal Fee | $15,000 |
| Technology Fee | Then-current fee (currently, $1,000 per month) |
| Audit Fee | Cost of audit, plus 18% interest on the underpayment |
| Interest on Past Due Amounts | 18% per year or the highest amount allowed by applicable law, whichever is less. |
| Bank Charges and Fees | Charges and Fees assessed by banks and third parties as a result of default in EFT payments |
| Costs of enforcement | All costs, including total amount of attorney’s fees incurred as a result of any act or omission as well as fees incurred for enforcing this agreement. |
| Insurance Policies (if franchisor procures) | Amount of unpaid premiums plus 10% of the cost of the insurance procured to reimburse us for our time and expense in obtaining the policies |
| Local Advertising Deficiency Fee | Up to 1% of Gross Sales per month |
| System Modifications | Cost of implementation, unlimited. |
| Additional Hourly Training Fee | Currently $50 per hour, plus out-of-pocket expenses |
| Temporary Management Assistance | Currently, $50 per hour, plus our expenses and costs |
| Indemnification | All costs including actual attorneys’ fees |
| Taxes | Amount of tax or fee |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 80 hours |
| Classroom Training | 38 hours |
| On-the-Job Training | 42 hours |
| Training Location | Tapster Lincoln Park, Chicago, IL and Franchisee location |
| Additional Training | Periodically, you, your managers or employees must attend refresher-training programs at our headquarters or another designated location, at your expense. These programs will not exceed 2 days per calendar year. We may require you to attend an annual conference and charge a fee. If a designated manager is replaced, the new manager must attend initial training, and additional training fees may be charged. We provide on-site pre-opening and opening training, supervision, and assistance for up to seven days around your Bar opening, and you must reimburse our representative's expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | approximately a three (3) mile radius (rural), 4-block radius (urban), or shopping center/mall premises |
| Description | You will not receive an exclusive territory. We will describe your territory in your Franchise Agreement when we approve your site for the Bar, based on factors including geographic area, population density, character of neighborhood, location and number of competing businesses. A typical territory will cover an area that consists of (a) approximately a three (3) mile radius surrounding your Bar if your Bar is located in a rural area; (b) a 4-block radius surrounding your Bar if your Bar is located in an urban area; (c) the boundaries of the shopping center or mall premises, if your Bar is located within a shopping center or mall. We reserve the right to establish and operate, or license others to establish and operate, Bar(s) in “Special Venues” (e.g., travel centers, airports, stadiums) within your territory, and to compete with you through alternative channels of distribution (e.g., Internet, catalog sales). |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 years |
| Renewal Fee | $15,000 |
| Renewal Conditions | To renew, you must provide written notice 180 days prior to expiration, not be in default, not have received more than three (3) default notices during the initial term (or two (2) in the last five (5) years), satisfy all monetary obligations, make necessary renovations/improvements to meet current System standards, execute the then-current form of franchise agreement (which may have different terms and increased fees), execute a general release of claims, and comply with current qualification and training requirements. |
| Transfer Fee | $20,000 |
| Transfer Conditions | Transfer requires our prior written consent, which may be withheld in our sole discretion. Conditions include: all monetary obligations satisfied, no defaults, transferor executes a general release, transferee meets our qualifications/standards (educational, managerial, business, moral character, credit rating, financial resources), transferee executes current franchise agreement (no initial franchise fee required), transferee upgrades the Bar to current standards, and transferee completes required training. A $5,000 fee applies if approval is requested but transfer is not consummated. A $1,500 fee applies for transfers to wholly-owned entities after the first six months. |
| Termination for Cause | We can terminate if you default. Curable defaults include non-payment of fees (10 days to cure), non-submission of reports (5 days to cure), and other defaults (30 days to cure). Non-curable defaults include failure to timely obtain an approved location/licenses, failure to open timely, failure to complete training, bankruptcy, abandonment of the Bar, conviction of felony, repeated defaults even if cured, loss or suspension of business license, trademark misuse, or unapproved transfers. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term of the franchise, you and your owners/managers/employees cannot have any interest in a 'Competitive Business' (any bar, tavern, pub, restaurant, food or alcohol beverage service facility or retail establishment that (a) features beer or wine; (b) serves craft beer; or (c) has more than ten (10) beers on tap). After termination or expiration, for two years, you cannot operate a competing business at the Approved Bar Location, within a 40-mile radius of the Approved Bar Location, or within a 40-mile radius of any other Bar in existence or under construction. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | While we do not require you to operate the franchised Bar, we strongly encourage the owner-operator model. The franchised Bar must always be under the direct, full-time, day-to-day supervision of a designated manager. We do not require the designated manager to have an ownership interest in your legal entity. However, if you are an individual, we may require you to be the designated manager of the franchise. |
| Required Suppliers | You are required to purchase certain products, services, signs, furnishings, supplies, fixtures, inventory, computer hardware and software, and equipment from distributors we have approved. You must purchase the self-pour beer technology and system from our exclusive designated supplier. You are also required to purchase our designated draft beer and point of sale systems, which is designed to integrate with the “PourMyBeer” technology. |
| Supply Restrictions | You may not deviate from our standards and specifications in any way without obtaining our written consent first. You must sell and offer for sale only those items, products and services that we expressly approve for sale in writing. You are prohibited from purchasing and/or using any other self-pour equipment or technology. |
| Franchisor Revenue from Suppliers | We may derive revenue on account of your purchases of any and all products and services. We and/or affiliates may charge you markups on products and services sold to you by us and or our affiliates and there is no limitation on the amount of any such markups. We reserve the right to be the sole supplier of any product, equipment and/or service. If we exercise this right, you must purchase the designated product, equipment, and/or services from us at the prices we specify, which may include a mark-up. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
Tapster Franchise Earnings — Item 19
Tapster does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Tapster 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.
Tapster Litigation & Risk Flags
Clean Litigation RecordTapster has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Tapster System Growth
Total Units
4
Franchised
1
Company-Owned
3
Tapster currently operates 1 franchised locations and 3 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 0 | 0 | 3 |
| 2022 | 0 | 0 | 3 |
| 2023 | 2 | 1 | 4 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
00
Total Assets
$2K
Audited by KEZOS & DUNLAVY Certified Public Accountants & Business Advisors for year ending December 31.
Tapster Franchise — FAQ
The total investment to open a Tapster franchise ranges from $229,200 to $1,332,000, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Tapster charges a royalty fee of 5% of Gross Sales; or $7,000 per month of gross sales, plus a Up to 2% of gross sales, or $2,800 per month contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Tapster Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Tapster to ensure you have the most up-to-date version.
Tapster does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Tapster has been franchising since 2018. The FDD shows an investment range of $229,200-$1,332,000, a 5% of Gross Sales; or $7,000 per month royalty, and no Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $229,200 to $1,332,000 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
Similar Food & Beverage Franchises
Interested in Tapster?
Get free info on this franchise. We will send you a detailed FDD report by email.
Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Tapster and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Tapster or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com