16 frequently asked questions answered with data from the 2025 Franchise Disclosure Document.
The total initial investment to open a Prince Tea House franchise ranges from $570K to $1.0M (2025 FDD). This includes the franchise fee, equipment, build-out, inventory, and working capital needed before opening.
View full investment analysisThe initial franchise fee for Prince Tea House is $60K (2025 FDD). This one-time fee is paid to the franchisor when signing the franchise agreement and covers the right to use the brand, systems, and initial training.
View full investment analysisData sourced from the Prince Tea House 2025 Franchise Disclosure Document (FDD). Always review the most current FDD and consult with a franchise attorney before making investment decisions.
No, Prince Tea House does not require franchisees to have dedicated real estate (2025 FDD). This can significantly reduce startup costs and ongoing overhead.
View full investment analysisPrince Tea House charges a royalty fee of 4.0% of gross sales (2025 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.
View full fees analysisThe total ongoing fee rate for a Prince Tea House franchise is approximately 7.0% of gross sales (2025 FDD). This includes the royalty fee, a 3.0% marketing/advertising fund contribution, and other recurring charges.
View full fees analysisPrince Tea House has been involved in 0 litigation cases over the past 3 years (2025 FDD). There are no class action lawsuits pending.
View full litigation analysisNo, the Prince Tea House franchisor has no bankruptcy filings in their disclosure history (2025 FDD).
View full litigation analysisPrince Tea House offers exclusive territory rights to its franchisees (2025 FDD). The franchise agreement includes encroachment protection, preventing the franchisor from placing another unit in your territory. Online sales are managed by the franchisor, not individual franchisees.
View full territory analysisPrince Tea House currently operates 13 locations (2025 FDD) (5 franchised, 8 company-owned). The system grew by 0.0% over the past year. The 3-year compound annual growth rate is 5.7%.
View full growth analysisThe 1-year franchisee turnover rate for Prince Tea House is 0.0% (2025 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.
View full growth analysisPrince Tea House does not include an Item 19 financial performance representation in their FDD (2025 FDD). This means the franchisor has chosen not to disclose revenue, profit, or other financial figures in the Franchise Disclosure Document.
View full financials analysisThe initial franchise agreement term for Prince Tea House is 10 years (2025 FDD). Franchisees can renew 1 time for 10-year periods. The total potential term is 20 years.
View full contract analysisPrince Tea House's post-termination non-compete clause restricts former franchisees from operating a competing business for 2 years within 5 miles of the former location (2025 FDD).
View full legal analysisNo, Prince Tea House's franchise agreement does not require mandatory arbitration (2025 FDD). Disputes may be resolved through litigation. The agreement includes a jury trial waiver.
View full legal analysisPrince Tea House provides 114 hours of initial training over approximately 3 weeks (2025 FDD). The cost of training is covered by the franchisor (travel and lodging are typically the franchisee's responsibility). Ongoing field support is provided on a as-needed basis.
View full support analysisYes, Prince Tea House provides site selection assistance to help franchisees find the right location (2025 FDD). The franchisor also provides technology support and systems.
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