About Teapulse Franchise
Teapulse is a specialty tea and boba franchise offering a diverse menu of boba teas, fruit teas, smoothies, slushies, coffee, juices, milk teas, pastries, and compatible food items.
Backed by Jidong North America Holdings LLC and newly franchising in 2025, the brand provides sit down, take out, and delivery services using proprietary products, recipes, and preparation methods.
The initial franchise fee is $29,800.
Teapulse Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $29,800 | One-time payment upon signing |
| Royalty Fee | 5% of Gross Revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Currently 1% of Gross Revenues, but we may increase up to 3% | National brand fund |
| Total Investment Range | $259,300 – $859,600 | Includes build-out, inventory, working capital |
The investment range of $259K–$860K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Gross Revenues) and marketing fee (Currently 1% of Gross Revenues, but we may increase up to 3%) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $29,800 | $29,800 |
| Store Launch Fee | $20,000 | $20,000 |
| Security Deposit | $20,000 | $20,000 |
| Construction, Leasehold Improvements, Furniture and Fixtures | $75,000 | $400,000 |
| Equipment | $50,000 | $125,000 |
| Signage (interior and exterior) | $5,000 | $20,000 |
| Computer, Software and POS System | $2,000 | $15,000 |
| Opening Inventory | $8,000 | $50,000 |
| Rent Deposits | $5,000 | $50,000 |
| Utility Deposits | $3,000 | $6,000 |
| Insurance Deposits and Premiums | $2,500 | $10,000 |
| Pre-opening Travel Expense | $3,500 | $10,000 |
| Pre-opening Labor | $5,000 | $15,000 |
| Professional Fees | $2,000 | $10,000 |
| Architect & Engineer Fees | $5,000 | $15,000 |
| Market Introduction Program | $3,000 | $10,000 |
| Business Permits and Licenses | $2,000 | $10,000 |
| Menu Printing, Stationery and Office Supplies | $1,000 | $3,800 |
| Additional funds – 3 Months | $17,500 | $40,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | $20,000 |
| Technology Fee | Currently $200 per month, which we may increase upon written notice, by no more than $100 per month each calendar year. |
| Audit Fee | Costs and expenses. |
| Local Advertising Marketing and Promotional Expenditures | 1% of Gross Revenues |
| Interest | 1.5% per month or highest rate allowed by law |
| Late Fee | $10 per day |
| Site Evaluation Fee | Costs and expenses actually incurred, which typically ranges between $2,000 and $3,000. |
| Relocation Fee | Costs and expenses. |
| Testing or Supplier Approval Fee | Costs and expenses of inspection, evaluation and/or testing and other professional analysis. |
| Additional training | Currently $250 per day per person plus expenses incurred. |
| Legal fees and expenses | All costs and expenses, including but not limited to attorneys’ fees for any failure to pay amounts when due or failure to comply in any way with the Franchise Agreement. |
| Indemnification | The amount of any claim, liability or loss we incur from your Franchised Business. |
| Reimbursement of Costs and Expenses | Costs and expenses. |
| Confidential Operating Manual Replacement Fee | Our then-current fee. |
| Post-Termination or Post-Expiration Expenses | Costs and expenses. |
| Market Introduction Program | $3,000 - $10,000 |
| Architectural Review Fee | Costs and expenses. |
| Computer Hardware, Software and Point of Sale System Maintenance | $150 - $500 Monthly |
| Step-In Rights | $500 per day that we manage the Franchised Business plus our costs and expenses |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | ten (10) days |
| Classroom Training | 23 |
| On-the-Job Training | 53 |
| Training Location | Queens, NY; Charlotte, NC; Long Island City, NY |
| Additional Training | In our discretion, additional training may be provided to you and one additional person. If you develop more than one Franchised Business, we will provide training to one manager for each Franchised Business at no additional charge. We may require that you complete additional training as well. If we provide you with additional training, we reserve the right to charge you for such training. Additional training will be charged at our then-current rate for additional training, which as of the date of this disclosure document is $250 per person per day. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | specific zip codes, counties or other natural boundaries |
| Description | The Territory may be located within specific zip codes, counties or other natural boundaries. Your Territory may be based in part on population density, number of tea shops within the Territory, current and projected market demand, potential customer base, access and visibility, traffic patterns and other economic, demographic and geographic factors determined by us in our sole discretion. We will assign you a Territory as we deem appropriate for your Franchised Business in our sole discretion. The minimum Territory granted to a franchisee may be the franchisee’s business location with no corresponding geographic protection. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | Ten (10) years |
| Renewal Term | unlimited number of additional consecutive five (5) year terms |
| Renewal Fee | $20,000 |
| Renewal Conditions | Franchisor must be offering franchises in the area; franchisee must have substantially complied with terms; franchisee must execute then-current franchise agreement (which may differ materially); franchisee must bring business into full compliance with current standards (refurbishing, new equipment, updating methods/procedures/product line/computer system); franchisee must meet new current training requirements; franchisee must have satisfied all monetary obligations to franchisor/affiliates/suppliers; franchisee must execute a general release; franchisee must give 6-9 months written notice; franchisee must maintain all relevant licenses/permits; franchisee must enter into a lease for the location for the duration of the successor term; and franchisee must pay the successor agreement fee. |
| Transfer Fee | $10,000 |
| Transfer Conditions | Franchisee must notify franchisor in writing of proposed transfer with complete description; transferee must possess sufficient business experience and financial resources, meet current standards, and possess character/capabilities/business reputation/credit rating; franchisee must have paid all royalty/brand fund contributions/other amounts owed, submitted all required reports, cured all other breaches, and satisfied all obligations; neither transferee nor its owners/affiliates have ownership interest in or perform services for a Competitive Business; transferee (or operating principal) and any other required personnel complete franchisor’s training program at transferee’s expense ($250 per person per day); franchisee's landlord(s) permit assignment/sublease; transferee executes then-current franchise agreement and related documents (may differ materially), pays then-current initial franchise fee, and complies with all requirements; transferee upgrades franchised business to current standards; transferee agrees franchisor is not responsible for representations not in disclosure document/franchise agreement; franchisee or transferee pays transfer fee; franchisee (and owners) signs general release; franchisor determines terms of transfer will not adversely affect operation; if financed, transferee's financing obligations are subordinate to franchisor's rights; transferee will not identify itself as a TEAPULSE franchisee; transferee complies with all other applicable transfer requirements; transferee passes credit and criminal background check; and transferee (and owners) execute personal guaranty. |
| Termination for Cause | Franchisor may terminate if franchisee defaults under the Agreement or any other agreement with franchisor, its affiliates or suppliers. Specific curable defaults (10-day notice) include failure to maintain insurance, licenses, pay amounts due, provide reports, comply with transfer requirements, commence operations, complete training, maintain/remodel location, comply with laws, or defaults under third-party mortgages/deeds/leases. Non-curable defaults (immediate termination) include material misrepresentation/omission, underreporting Gross Revenues (3+ occasions/36 months or >5%), engaging in unapproved business activity, failing to follow recipes/use required ingredients, felony conviction/no contest plea, dishonest/unethical conduct, failure to pay taxes, repeated defaults, operating unsafely, breach of confidentiality/non-compete, unauthorized transfer/relocation, or copying operating manual. |
| Non-Compete Period | two (2) years |
| Non-Compete Details | During the term of the Agreement, franchisee and owners are prohibited from operating or having an interest in a competing business wherever located. For two (2) years after termination/expiration of the Agreement, transfer of the franchise, or final non-appealable judgment enforcing covenants, restrictions apply: at the location of the Franchised Business; within any assigned Territory and within ten (10) miles of its outer boundaries; within ten (10) miles of any other TEAPULSE shop; and within the territory assigned to any other TEAPULSE shop and within ten (10) miles of its outer boundaries (owned, in operation, under development or to be developed by Franchisor, its affiliates or franchisees). |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | We recommend and may in our sole discretion, require that you, the Franchisee, or your Operating Principal personally supervise the day-to-day activities of the Franchised Business. If we permit you to not personally supervise the operations of the Franchised Business and you elect to do so, you will be required to employ a full-time manager who must be responsible on an exclusive basis for the on-premises supervision of the daily operations of the Franchised Business. Any person serving in the role of manager must successfully complete our training program and undergo any required supplemental training. The manager must be reasonably qualified to run an operation of this nature as determined by our sole discretion, but need not be an equity Owner in the Franchisee. We require that you appoint an Operating Principal who will serve as principal contact with us. |
| Required Suppliers | Franchisee must obtain all goods, services, supplies, materials, fixtures, furnishings, equipment (including computer hardware and software) and other products used only from our exclusive or approved suppliers. Our affiliate, JD Manufacturing & Distribution LLC, is an exclusive supplier of certain goods, equipment, fixtures, supplies, non-perishable food inventory, merchandise, computer hardware & software, point-of-sale system, products and services to our franchisees. |
| Supply Restrictions | Franchisee may have to buy or lease items from the franchisor or a limited group of suppliers the franchisor designates. These items may be more expensive than similar items franchisee could buy on their own. If franchisee wants to independently source any items from someone other than one of our Suppliers, franchisee must obtain our prior approval. |
| Franchisor Revenue from Suppliers | During our fiscal year ending December 31, 2024, neither we nor our affiliates have received money from or on account of the sale of goods or services to franchisees, but we reserve the right for us and our affiliates to do so in the future. We or our affiliates may enter into certain agreements with Suppliers to receive rebates or other consideration on account of your purchases and based on certain percentages of the purchases you make from Suppliers. In 2024, neither we nor any of our affiliates received any monies from Suppliers in advertising and other payments as a result of leases and purchases of products and services by franchisees. None of our affiliates currently receive rebates, overrides or other consideration from Suppliers as a result of purchases by our franchisees; however, we (and they) reserve the right to do so in the future. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither we nor any agent or affiliate offers direct or indirect financing to you, guarantees any note, lease or obligation of yours, or has any practice or intent to sell, assign or discount to a third-party all or any part of any financing arrangement of yours. |
Teapulse Franchise Earnings — Item 19
Teapulse 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.
Teapulse 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.
Teapulse System Growth
Teapulse currently operates 0 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 |
|---|---|---|---|
| 2022 | 0 | 0 | 0 |
| 2023 | 0 | 0 | 0 |
| 2024 | 3 | 0 | 3 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 17 states: CA, MD, HI, MI, IL, MN, IN, NE, NY, SD, ND, TX, OR, VA, RI, WA, WI
Franchisor Financials (Item 21)
Audited by HTL CPAs & Business Advisors LLC for year ending December 31st.
Teapulse Franchise — FAQ
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