2005
1400
$293,000
$54,900
$480,000
No
Chatime is a globally recognized Taiwanese bubble tea brand that has become synonymous with high-quality, customizable beverages. Since its inception in 2005, Chatime has revolutionized the tea-drinking culture, offering a diverse range of drinks that cater to various tastes and preferences. With over 1,400 locations worldwide, including a growing presence in the United States, Chatime offers entrepreneurs an exciting opportunity to invest in a thriving industry.
Proven Brand Success: Chatime's global presence and strong brand recognition ensure a steady customer base and consistent demand.
Innovative Offerings: The brand's commitment to innovation keeps its menu fresh and appealing, attracting a diverse clientele.
Comprehensive Support: Chatime provides extensive training and ongoing support to franchisees, ensuring operational excellence and business growth.
Scalable Business Model: The franchise model is designed for scalability, allowing for expansion into multiple locations over time.
Established Year & Origin:
Chatime was founded in 2005 in Hsinchu, Taiwan, by Henry Wang. The brand started with the mission of offering high-quality, freshly brewed tea beverages made with natural ingredients. Its focus on consistency, taste, and customization quickly gained popularity in Asia.
Global Expansion & Presence:
Since its inception, Chatime has grown into a global brand with over 1,400 locations across 38 countries. Its rapid expansion has made it one of the world’s most recognized bubble tea franchises. The brand is especially popular in countries like Canada, Australia, the Philippines, Malaysia, and the United States.
Entry into the USA Market:
Chatime entered the United States in 2014 and has been steadily expanding in major cities, particularly in areas with a strong demand for bubble tea and specialty beverages. Locations are typically found in high-traffic retail areas, shopping malls, and near universities or urban centers.
Franchise Units:
Chatime operates numerous franchise locations in the USA, and the number continues to grow. Franchisees benefit from a proven business model, standardized operations, and global brand recognition, which reduces the typical risks associated with new ventures.
Ownership & Management:
Chatime is owned by La Kaffa International Co., Ltd., a publicly traded company listed on the Taiwan Stock Exchange. This ownership ensures strong corporate governance, reliable supply chains, and investment in research and development for product innovation.
Brand Journey & Reputation:
2005: Chatime founded in Taiwan.
2006–2010: Expansion across Asia; establishment of signature tea blends and bubble tea menu items.
2011–2014: First international stores opened; franchise system refined for global operations.
2014: Entry into the USA market; focus on building brand recognition and quality standards.
2015–Present: Steady growth in North America with hundreds of locations; recognized for consistency, innovative flavors, and a customizable menu.
Industry Category:
Chatime operates in the Food & Beverage industry, specifically under specialty drinks and bubble tea, which is a rapidly growing market in the USA, particularly among young consumers and urban populations.
Market Positioning:
Chatime positions itself as a premium, innovative, and customizable beverage brand, targeting customers who value quality, flavor variety, and a modern café experience. Its unique selling points include:
Freshly brewed tea made to order
Wide variety of flavors and toppings
Consistency and quality across all franchise locations
Global recognition and strong marketing support
Other Notable Information:
Chatime leverages global supply chains to ensure ingredient quality.
The brand emphasizes sustainability and ethical sourcing of tea leaves.
Franchisees receive ongoing support to maintain operational excellence and adapt to local market trends.
Chatime is known for its comprehensive franchisee support system, designed to ensure every location meets brand standards and achieves operational success. The support is structured in multiple phases: pre-launch, operational, marketing, academic, and ongoing support.
Before opening a Chatime franchise, franchisees receive extensive guidance to set up the business effectively:
Site Selection Assistance: Chatime provides expert advice on identifying high-traffic, profitable locations, considering demographics, visibility, and accessibility.
Store Design & Build-Out: Support includes standardized store layout, interior design, and equipment installation to maintain brand consistency.
Licensing & Permits: Guidance on local regulatory requirements, health permits, and compliance with USA food & beverage laws.
Supply Chain Setup: Assistance with sourcing equipment, ingredients, and packaging from approved vendors.
Franchisees and their staff undergo rigorous training to ensure smooth day-to-day operations:
Initial Training Program: Usually 2–3 weeks, combining hands-on experience at a corporate location and online learning modules.
Beverage Preparation: Step-by-step training on brewing tea, customizing drinks, using toppings, and maintaining quality.
Store Management: Training on inventory management, staffing, scheduling, cash handling, and maintaining hygiene standards.
Customer Service: Emphasis on delivering a premium customer experience consistent with the Chatime brand.
Chatime provides franchisees with marketing strategies and promotional guidance to drive traffic and sales:
Grand Opening Support: Assistance with marketing campaigns, events, and social media promotion for store launch.
Local Marketing Guidance: Advice on community outreach, partnerships, and promotions tailored to local demographics.
Digital Marketing Materials: Access to professionally designed promotional assets, including signage, flyers, and social media content.
Brand Campaigns: Support in leveraging national and international brand campaigns for consistency.
Product Innovation Training: Continuous education on new menu items, seasonal drinks, and customization techniques.
Quality Control Standards: Ensuring every store maintains the same taste and presentation that Chatime customers expect.
Workshops & Webinars: Ongoing learning opportunities for franchisees and staff to stay updated on industry trends and operational best practices.
Operational Audits: Periodic store visits by corporate representatives to monitor quality, hygiene, and operational efficiency.
Supply Chain Assistance: Continuous access to approved ingredients and equipment suppliers to maintain consistency.
Customer Feedback Management: Guidance on collecting and acting on customer feedback to improve services.
Franchisee Network: Access to a community of franchise owners for knowledge sharing, tips, and collaborative problem-solving.
Chatime looks for franchisees who are passionate, business-savvy, and committed to operational excellence. While prior experience in the food and beverage industry is beneficial, the brand also provides extensive training, allowing motivated entrepreneurs from diverse backgrounds to succeed.
Business-Oriented: Ideal franchisees possess strong business acumen, with the ability to manage operations, budgets, and staff efficiently.
Growth-Focused: Individuals who are motivated to expand their business and explore multiple locations over time.
Problem-Solvers: Franchisees should be proactive, adaptable, and capable of overcoming operational challenges while maintaining high service standards.
Food & Beverage Enthusiasts: Candidates who enjoy working in the retail and beverage industry, especially in specialty drinks and bubble tea.
Customer-Centric: Franchisees who are dedicated to providing a high-quality, consistent, and enjoyable customer experience.
Brand Advocates: Those who are enthusiastic about representing an internationally recognized brand and maintaining its reputation.
Investment Readiness: Ability to meet the initial total investment of $293,000–$480,000, including franchise fees, store build-out, inventory, and working capital.
Sustainable Funding: Capacity to cover operational costs until the store reaches break-even, typically 18–24 months.
Commitment to Royalties & Marketing Fees: Willingness to contribute 5% royalty fees and 2% marketing fees of monthly gross sales to maintain brand consistency and marketing support.
Preferred Background: Experience in retail, food service, hospitality, or other customer-focused businesses is advantageous but not mandatory.
Team Leadership: Ability to recruit, train, and manage staff efficiently, ensuring consistent product quality and customer service.
Operational Oversight: Comfort with managing daily operations, inventory control, and adhering to standardized procedures.
High-Traffic Areas: Franchisees should be interested in opening stores in locations with strong foot traffic, including malls, universities, urban centers, or densely populated neighborhoods.
Community Engagement: Awareness of local market trends, consumer preferences, and competitor activity to maximize store performance.
Commitment & Dedication: Willingness to invest time, energy, and effort into establishing and growing the franchise.
Adaptability: Ability to implement corporate guidance while adapting to local market needs.
Passion for Learning: Open to ongoing training, embracing innovation, and maintaining brand standards.
| Financial Component | Details / Range |
|---|---|
| Total Investment Required | $293,000 – $480,000 (depending on location, store size, and build-out costs) |
| Minimum Investment Required | $293,000 |
| Franchise Fee | $54,900 |
| Royalty Fee | 5% of monthly gross sales |
| Marketing Fee | 2% of monthly gross sales |
| Franchise Units in USA | Growing number, with multiple locations in high-traffic urban areas |
| Infrastructure / Build-Out Cost | $150,000 – $250,000 (includes equipment, signage, interior design, and POS system) |
| Working Capital | Approximately 10% of total investment (~$30,000 – $50,000) |
| Expected Annual Revenue per Store | $793,037 (average gross revenue per location) |
| Break-Even Time | 18 – 24 months |
| Potential Revenue Streams | - Bubble tea & specialty beverages - Fruit teas & smoothies - Seasonal menu items - Merchandise & add-ons |
Total Investment includes franchise fee, infrastructure costs, initial inventory, working capital, and other pre-opening expenses.
ROI (Return on Investment) varies depending on location, store size, and operational efficiency; franchisees typically see profitability within 18–24 months.
Revenue Streams are diversified through customizable drinks, toppings, and occasional promotional campaigns, maximizing per-customer spending.
Franchise Fee & Royalties contribute to ongoing support, training, and brand marketing, ensuring consistent quality and customer experience.
