Ding Tea Franchise FDD, Profits & Costs (2025)
Established in 2004 in Feng Chia, Taichung, Taiwan, Ding Tea has evolved from a local specialty shop into an international franchise known for its premium tea beverages. Based in Taichung City, the brand is dedicated to using fresh, natural tea leaves combined with modern brewing techniques, creating a refined and memorable tea experience for its customers.
That same year, Ding Tea launched its franchise program, sharing the authentic essence of Taiwanese tea culture with consumers around the world.
Its extensive menu includes a diverse range of beverages—signature milk teas, freshly brewed teas, and rotating seasonal flavors—designed to appeal to both traditional tea lovers and modern drink enthusiasts. What sets Ding Tea apart is its continuous focus on quality, authenticity, and creativity.
Initial Investment
How much does it cost to start a Ding Tea franchise? It costs on average between $195,000 – $324,000 to start a Ding Tea franchised restaurant.
This covers expenses such as store build-out, equipment purchases, initial inventory, and startup operating costs. The total investment varies based on several factors, including the shop’s size and format, its location, and whether the franchisee opts to lease or buy the premises.
| Type of Expenditure | Amount |
|---|---|
| Franchise Fee | $30,000 |
| Design Fee | $500 |
| Security Deposit | $10,000 |
| Six-month Service Fees Prepayment | $3,000 |
| Related Personnel Cost for Initial Training | $2,500 to $5,000 |
| Equipment | $10,000 |
| Utensils | $5,000 |
| Rent for the Tea Shop | $2,800 to $5,500 |
| Rental for Warehouse | $2,000 to $3,000 |
| Renovation | $50,000 to $100,000 |
| Opening Inventory | $25,000 to $30,000 |
| Licenses, Permits, Fees and Deposit | $1,800 to $3,500 |
| Point of Sale System | $1,850 to $2,000 |
| Office Equipment & Supplies | $120 to $500 |
| Uniforms | $670 |
| Insurance | $4,500 to $15,000 |
| Advertisement | $500 |
| Additional Funds – 3 Months | $45,000 to $100,000 |
| Total Cost | $195,240 to $324,170 |
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Frequently Asked Questions
How many Ding Tea locations are there?
As of the most recent data, Ding Tea operates approximately 134 franchises in the United States.
What is the total investment required to open a Ding Tea franchise?
The total investment required to open a Ding Tea franchise ranges from $195,000 to $324,000.
What are the ongoing fees for a Ding Tea franchise?
Ding Tea franchisees pay an ongoing royalty fee ranging from 2% to 5% of gross sales. The brand also requires a marketing or advertising contribution, though the exact percentage is not publicly disclosed and may vary by agreement or region.
Who owns Ding Tea?
The franchise is owned by Hsiu Hui Lin, who founded Ding Tea in 2004 in Taichung, Taiwan.
Disclaimer
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