Kokee Tea^®

Food & Beverage • Year: 2026

All product and company names mentioned are trademarks™ or registered® trademarks of their respective holders. Use of these names does not imply any affiliation with, sponsorship by, or endorsement by them.

What Is Kokee Tea?

Kokee Tea is a specialty food café franchise offering handcrafted bubble tea and specialty desserts. Franchisees operate standard stand-alone cafés (from kiosks of about 150 square feet up to roughly 3,000 square feet) typically located in enclosed shopping malls and strip shopping centers, and Kokee Tea also offers a scaled-down Store in a Store concept inside other businesses such as restaurants.

Kokee Tea Franchise: Pros and Cons

Its strongest advantage is unusually strong territorial exclusivity - a Territory Protection Score of 61 (top 10%) plus restrictions preventing the franchisor from selling online or using different trademarks in your area - but the biggest risk is that the franchisor operates zero company-owned units, so it lacks firsthand testing and will rely entirely on franchisee input for system improvements.

Pros

Territory Protection Score of 61 is well above what's common in food & beverage (top 10%), and the franchisor also cannot sell online in your territory or use different trademarks-together this gives unusually strong territorial exclusivity compared with most F&B chains.

The $25,000 initial franchise fee is well below typical for food & beverage (bottom 10%), leaving you with more cash on hand for build-out and early operating reserves.

Zero disclosed lawsuits, zero franchisor-initiated enforcement actions, and zero government penalties (all well below typical) point to a clean legal and compliance record, which reduces legal and regulatory friction for operators.

Cons

Zero company-owned units (well below typical for food & beverage) means the franchisor doesn't run locations itself, limiting their ability to test new ideas and maintain firsthand operational experience-system improvements will rely entirely on franchisee input.

Lawsuits & Legal Risk

100

Excellent

Kokee Tea reported no material legal proceedings,

Territory Protection

61/100

Good

Kokee Tea grants a protected, exclusive Designated Territory for one Approved Location, with approximately two-mile suburban spacing and Special Sites exceptions. Territory rights are contingent on meeting performance quotas, and the franchisor retains the right to develop additional units nearby and to pursue alternative distribution channels outside the territory.

Training & Support

51/100

NORMAL

Kokee Tea provides a robust 72-hour training curriculum designed to prepare three staff members for launch. The program includes on-site launch assistance to support operational readiness; franchisees are responsible for travel and living expenses, and on-site support carries additional fees.

Unit Growth Analysis

Kokee Tea has shrunk from 19 units in 2021 to 15 today, with a sharp -46.4% year-over-year decline - it's contracting, not expanding. At 15 franchised locations this reads like a stalled startup: the concept hasn't proven it can sustain shops, support is likely thin, and a new owner should treat this as high risk-dig into why units closed, review FDD performance claims, and speak with current and exited franchisees before committing.

How Much Does It Cost to Open a Kokee Tea Franchise?

Opening a Kokee Tea franchise requires a total initial investment of $211,635 to $567,450, according to the 2026 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$211,635

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$567,450

Minimum Investment Breakdown

Franchise Fee$40,000

Real Estate$50,000

Equipment & Assets$64,185

Reserves$49,000

Training$2,000

Other$6,450

Maximum Investment Breakdown

Franchise Fee$40,000

Real Estate$343,000

Equipment & Assets$115,000

Reserves$58,000

Training$5,000

Other$6,450

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do Kokee Tea Franchise Owners Make?

Kokee Tea franchise locations reported average gross sales of $413,276 in 2026, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$413,276

Median Gross Sales:

N/A

Sample Size:

N/A

Audit Status:

Unaudited

Franchise vs Corporate Performance: The only quantitative performance figure provided is for corporate-owned Kokee Tea Cafes: gross sales for corporate-owned cafes in business at least 12 months are approximately $413,276. The FDD does not present franchisee-level averages or other franchise-specific performance metrics, and the company states it does not otherwise make financial performance representations for franchisees (though it may provide actual records of an existing outlet to a prospective purchaser).

Performance Variability Analysis: No measures of dispersion or profitability are provided (no median, high, low, percent attaining average, cost of goods sold, or net income). The disclosure includes a clear caution that results will vary and there is "no assurance that you will earn as much." Sampling is described as limited and includes two stores that have been in operation for less than two years, which increases uncertainty around how representative the $413,276 figure is.

Data Scope and Limitations: The Item 19 figure is limited in scope (corporate-owned outlets only) and the FDD states written substantiation for the representation is available for review or will be made available upon reasonable request. The document does not state the sample size or provide audited financial statements; therefore core KPIs and profitability metrics are absent from the disclosure and must be obtained separately (e.g., via request for substantiation or actual outlet records) before relying on the figure.

Frequently Asked Questions

Is Kokee Tea a good franchise to own?

Whether Kokee Tea is a good franchise depends on your goals, experience, and local market. Key factors from the 2026 FDD: Kokee Tea operates 15 locations, received a legal risk score of 100/100, a training and support score of 51/100. Financial performance data is disclosed in Item 19. Prospective franchisees should review the full Franchise Disclosure Document and consult with a franchise attorney before making any investment decision.

Is a Kokee Tea franchise worth the investment?

The value of a Kokee Tea franchise investment depends on factors such as location, operator experience, and market demand. The initial investment ranges from $211,635 to $567,450. Kokee Tea disclosed average gross sales of $413,276 in 2026. Franchise investments carry inherent risk, and prospective buyers should conduct thorough due diligence before committing capital.

How long does it take to break even with a Kokee Tea franchise?

Break-even timelines for Kokee Tea franchises are not disclosed in the 2026 Franchise Disclosure Document. Break-even periods vary significantly based on initial investment level, local market conditions, operating costs, and revenue ramp-up speed. Prospective franchisees should build a pro forma financial model using Item 7 cost estimates and, where available, Item 19 financial performance data from the FDD.

Is Kokee Tea a franchise or a corporate-owned business?

As of the 2026 FDD, Kokee Tea operates 15 franchised locations and 0 company-owned locations. Franchise opportunities are available through the franchisor's disclosure process.

Interested in Kokee Tea?

Get more information and connect with the franchise directly.