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SUBJECT DOSSIER · FDD 2025

Molly Tea

Other Franchises · disclosure-honesty grade · from public state filings
GRADE F · FAILS DISCLOSURE

Disclosure honesty

F
Transparency 1 / 5

Molly Tea discloses little or no owner-earnings data (Item 19) — the franchisor won't put real profit in writing.

Outlets4
Disclosed lawsuits0
Closure signals0 ceased
Investment
$527,500–$1,108,000
Total fees
10% of sales
Outlets
4
Closure signals
0 ceased, 0 terminated
Lawsuits
0
◢ FINDINGS
ITEM 19
No real earnings disclosure
The franchisor won't put owner profit in writing — you can't verify the pitch.

What their own earnings claim actually says

No financial performance representations disclosed. Franchisor explicitly states no representations about franchisee future financial performance or past outlet performance.

Is Molly Tea worth it? — how it compares to 266 similar franchises

Ongoing fees10% of salessteeper than 73% of other franchises franchises
Startup costfrom $527,500pricier than 82% of peers
Disclosure honestyGrade Fless honest than most of the category
Closure rate0.0% of outletsbetter than most (median 1.5%)
Disclosed lawsuits0fewer than most

Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.

◤ CLASSIFIED · ITEM 19 RECONSTRUCTED

Owner take-home for a Molly Tea

The franchisor's framing: No financial performance representations disclosed. Franchisor explicitly states no repres… We reconstruct what an owner actually keeps, from their own FDD.

LOW
MEDIAN
HIGH

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Molly Tea franchise — frequently asked

How much does a Molly Tea franchise cost?
The FDD lists a total initial investment of about $527,500–$1,108,000, including a $50,000 initial franchise fee.
How much do Molly Tea franchise owners make?
Molly 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 Molly Tea franchise failure rate?
Early-stage system: only 1 franchised outlet (2024), 3 company-owned. Zero closures/terminations to date.
Is a Molly Tea franchise worth it?
It depends on the numbers, not the pitch. Molly Tea scores F on disclosure honesty, carries about 10% of sales in ongoing fees. Get the real owner take-home before you sign.

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Source: WI DFI Franchise Registration (2025). FranchiseValidate is independent and not affiliated with Molly Tea or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.