FDD ITEM 20 · FISCAL 2022–2024
Gong cha (Unit) Item 20: outlets, exits & growth
In its latest FDD Item 20 (fiscal 2024, from the 2025 FDD), Gong cha (Unit) reported 4 franchised outlets at year end, and 4 new outlets opened during the year. Systemwide units moved 3 → 6 units over 2022–2024.
| Status (FTC) | 2022 | 2023 | 2024 |
|---|---|---|---|
| Outlets at start | 0 | 3 | 2 |
| Opened | 0 | 0 | 4 |
| Transfers | 0 | 0 | 0 |
| Terminations | 0 | 0 | 0 |
| Non-renewals | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 0 | 0 |
| Outlets at end | 3 | 2 | 6 |
| Net change | +3 | -1 | +4 |
0 terminations + 0 non-renewals + 0 ceased (other) = 0 exits
These are the three FTC Item 20 statuses in which a franchised outlet left the system — including voluntary non-renewals and outlets that ceased for other reasons, which can include sales or absorption into another franchise. Transfers (0) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate”, and not every exit is a closure or a failure; Item 20 does not say why any outlet left. On a small starting base, a single exit moves this rate sharply.
The Gong cha (Unit) validation checklist
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