ITEMS 5–7 · FDD 2026
How much is a TP TEA franchise?
Per TP TEA's 2026 FDD, the initial franchise fee is $50K (Item 5) and the total initial investment runs $425K–$447K (Item 7); once open, you pay an ongoing royalty of 6.0% of gross sales (Item 6).
$50K
one-time, to buy in
6.0%
of gross sales, ongoing
$425K–$447K
franchisor's own estimate
| Cost line | TP TEA | Sector median |
|---|---|---|
| Initial franchise fee ITEM 5 | $50K | $35K |
| Ongoing royalty ITEM 6 | 6.0% | 6.0% |
| Total initial investment ITEM 7 | $425K–$447K | $328K–$831K |
MEDIANS: LATEST REAL FDD FILINGS OF 146 FOOD & DINING SYSTEMS · FULL FOOD & DINING BENCHMARK →
The buy-in is the smaller number. The larger one is the drag: 6.0% of every sale leaves before rent, labor, or your salary — so breakeven depends on volume you cannot know from the FDD, and this brand publishes no Item 19 earnings data to anchor it.
To open (Item 7)
$425K–$447K
all-in investment range
Franchise fee (Item 5)
$50K
upfront, one-time
Royalty (Item 6)
6%
of sales, ongoing
Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.
Royalty you'd pay / yr
$60K
6% of sales, before profit
Over a 10-yr term
$600K
royalties alone, excl. ad fund
This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.
Build a real pro-forma for TP TEA with an independent CPATP TEA cost questions, answered from the filing
How much is a TP TEA franchise?
Per TP TEA's 2026 FDD, opening a franchise requires an initial franchise fee of $50K (Item 5) and a total initial investment of $425K–$447K (Item 7). Item 7 is the franchisor's own estimate — treat the low end as a floor, not a budget.
What royalty does TP TEA charge?
TP TEA charges an ongoing royalty of 6.0% of gross sales, per Item 6 of its 2026 FDD. The median across 146 food & dining systems tracked here is 6.0%.
Does TP TEA tell you what franchisees earn?
No — TP TEA's 2026 FDD makes no Item 19 earnings claim, so any revenue figure you hear comes from sales conversations, not disclosure documents. Validate with current and former franchisees.
The TP TEA validation checklist
questions built from this brand's own filings · read them all on the profile
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