Kung Fu Tea
Disclosure honesty
Kung Fu Tea discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.
What their own earnings claim actually says
No financial performance representations made. Franchisor does not authorize income projections or financial performance disclosures.
Is Kung Fu Tea worth it? — how it compares to 266 similar franchises
| Ongoing fees | 6% of sales | lower than most (median 8%) |
| Startup cost | from $169,000 | about average (median $142,905) |
| Disclosure honesty | Grade F | less honest than most of the category |
| Closure rate | 0.6% of outlets | better than most (median 1.5%) |
| Disclosed lawsuits | 1 | about average |
Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Kung Fu Tea
The franchisor's framing: No financial performance representations made. Franchisor does not authorize income projec… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Kung Fu Tea franchise — frequently asked
- How much does a Kung Fu Tea franchise cost?
- The FDD lists a total initial investment of about $169,000–$378,000, including a $25,000 initial franchise fee.
- How much do Kung Fu Tea franchise owners make?
- Kung Fu Tea discloses little or no earnings data (Item 19) — meaning the franchisor won't put real owner profit in writing. That's a red flag worth questioning.
- What is the Kung Fu Tea franchise failure rate?
- 2025: 45 franchised closures; 58 terminations; significant NY/TX/MA/VA exits.
- Is a Kung Fu Tea franchise worth it?
- It depends on the numbers, not the pitch. Kung Fu Tea scores F on disclosure honesty, carries about 6% of sales in ongoing fees, and discloses 1 legal matters. Get the real owner take-home before you sign.
Own a Kung Fu Tea? Add your real numbers (anonymous)
We publish only aggregated benchmarks — never your name. Contribute and we'll show you how your numbers compare.
Compare Kung Fu Tea to similar franchises
See all franchises ranked by disclosure honesty →
Source: WI DFI Franchise Registration (2026). FranchiseValidate is independent and not affiliated with Kung Fu Tea or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.