Gong Cha
Gong cha Americas, Inc.
Company Information
200 Clarendon St., Suite #5600
The franchisor is Gong Cha USA Franchising, LLC, a Delaware limited liability company, incorporated on January 10, 2023. The Gong cha® brand was founded in 2006 in Taiwan. Its principal business address is 200 Clarendon St., Suite #5600, Boston, Massachusetts 02116. The direct parent is Gong cha Americas, Inc.
Not Available
2 Ongoing Lawsuits
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Franchise Rating
Franchimp Summary Rating
6/10
Earning Transparency
7/10
Investment Accessibility
5/10
Summary of potential earnings
$345,217 / unit
Average Revenue During 2020Cafes & Coffee Shops
Franchise System Development
| Year | Units at Start of Year | Units Opened | Units Terminated | Non-Renewals | Re-Acquired by Franchisor | Ceased Operations | Units at End of Year |
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Distribution of Gong Cha Franchisee
Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $64,250 Maximum: $101,700
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $184,750 Maximum: $627,060
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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