Franchise Facts Report → brands → Kung Fu Tea
Kung Fu Tea franchise — is it worth it?
Medium risk Shrinking network
KUNG FU TEA is a bubble tea franchise in the food and beverage sector, requiring an initial investment between $169,000 and $378,000.
Everything below is free, read straight off Kung Fu Tea's registered filing, with where the numbers land against food & beverage peers. Weighing Kung Fu Tea against other options? Get a free shortlist of franchises that fit your budget.
Figures above are as disclosed in Kung Fu Tea's most recent FDD (registered 2026). Source: Minnesota Dept. of Commerce — CARDS franchise registrations · filing 37009-202607-08 — check it yourself. See every other Minnesota-registered franchise.
Considering Kung Fu Tea? See what else fits your budget
Tell us your budget and the industries you're open to. We'll match you with 5–10 franchises whose own FDDs fit — ranked by earnings disclosure, growth and closure rate — and email you the list. Kung Fu Tea will be on it if it fits.
Kung Fu Tea franchise profit — what the FDD discloses
Plainly: Kung Fu Tea does not disclose franchise profit or revenue. Its most recent FDD makes no Item 19 financial performance representation, so there is no franchisor-backed earnings figure for Kung Fu Tea — any number quoted elsewhere is an estimate, not a disclosure. The absence is itself worth weighing (42% of food & beverage franchisors in our corpus do disclose); the fees, litigation and outlet churn Kung Fu Tea's FDD does contain are on this page. For brands that put earnings on paper, see Food & beverage franchises with disclosed Item 19 earnings.
Kung Fu Tea lawsuits & legal history (FDD Item 3)
Kung Fu Tea's most recently filed Franchise Disclosure Document (2026) does disclose legal proceedings in Item 3 . Item 3 is the item where a franchisor must put its material legal history on the record. Two things it is not: it covers the franchisor and its predecessors, parents and affiliates, so a disclosed case is not necessarily a suit against Kung Fu Tea itself; and a disclosure is a fact, not a finding of wrongdoing — most entries are contract disputes with former franchisees, which every large system accumulates. Item 3 of the source FDD describes each case.
Kung Fu Tea closures & failure rate
Before you sign, Kung Fu Tea will hand you a list of current owners to call as references — and they choose who's on that list. It won't include the owners who quit, got bought out, or were forced out last year. The FDD does report that number, even though the reference list leaves those people off. Below is what Kung Fu Tea's most recent filing shows, and whether it's normal for a food & beverage of this kind.
The closest thing an FDD has to a failure rate is Item 20 — outlet openings, closures, terminations and non-renewals, reported by the franchisor. Kung Fu Tea's latest tables show a shrinking franchised network — more units left than opened. Its franchised-outlet closure rate — closures, terminations and non-renewals against outlets — is 6.7%, against a food & beverage median of 3.3% — worse than the category. Net franchised outlets moved -43 to 344 in the latest reported year.
Who owns Kung Fu Tea?
Kung Fu Tea's franchise is offered by KF TEA FRANCHISING LLC — the franchisor named on the cover of its most recently filed Franchise Disclosure Document (2026), and the entity a franchisee actually signs with. That name comes straight off the filing at MN CARDS; it identifies the franchisor, not necessarily the ultimate parent company behind it.
Compare Kung Fu Tea head-to-head
Food & beverage franchises at a similar investment level
Anyone weighing Kung Fu Tea is really weighing it against the other brands their money could go into. These are the closest by total initial investment (FDD Item 7), each with its own FDD-based page.
Kung Fu Tea franchise — frequently asked
Who owns Kung Fu Tea — who is the franchisor?
Kung Fu Tea's most recently filed FDD (2026) names KF TEA FRANCHISING LLC as the franchisor — the entity you would actually sign the franchise agreement with, as stated on the disclosure document itself. A registry filing names the franchisor, not necessarily its ultimate parent company.
How much does a Kung Fu Tea franchise cost?
Kung Fu Tea's most recently filed FDD (Item 7) puts the total estimated initial investment at $169,000 – $378,000, with an initial franchise fee of $37,000 and a 4% royalty. That price is the franchisor's own estimate of what it takes to open, not a quote. Against food & beverage peers it sits in the upper quartile (median $379,725).
How much profit does a Kung Fu Tea franchise make?
Kung Fu Tea makes no Item 19 financial performance representation, so there is no franchisor-disclosed revenue or profit figure for Kung Fu Tea at all — and profit would never be disclosed even where earnings are, because it depends on your rent, labor and how you operate. Any profit figure quoted elsewhere is an estimate, not a disclosure.
Does Kung Fu Tea disclose financial performance (Item 19)?
No — Kung Fu Tea's most recent FDD makes no Item 19 financial performance representation. Its absence is worth weighing: 42% of food & beverage franchisors in our corpus do disclose.
Are there lawsuits against Kung Fu Tea?
Kung Fu Tea's most recently filed FDD (2026) discloses legal proceedings in Item 3. Item 3 covers the franchisor, its predecessors, parents and affiliates — so a disclosed case is not necessarily a suit against Kung Fu Tea itself, and a disclosure is not a finding of wrongdoing.
Is Kung Fu Tea a good franchise to buy?
Nobody can answer that from Kung Fu Tea's numbers alone — it comes down to how its investment, earnings, litigation and franchisee churn stack up against food & beverage peers and against your own budget. Our read on this filing is medium risk. Every figure behind that read is on this page for free. If you're comparing options, the free shortlist on this page matches you with 5–10 franchises that fit your budget and industry.
Get a free email when something changes on Kung Fu Tea or food & beverage: a new FDD registration, a new lawsuit, an outlet count that shifts, or Item 19 earnings going from undisclosed to disclosed. Pulled straight from the same state registries this page is built on.