Thirstea Franchise FDD, Profits & Costs (2025)
ThirsTea is a growing fast-casual franchise that focuses on serving bubble tea, smoothies, milkshakes, slushies, and rolled ice cream. The brand was created in 2019 in Temecula, California, by entrepreneurs Keerthy Sunder and Sonny Paul, and began offering franchise opportunities in 2023.
The company is headquartered at 27287 Nicolas Rd., Temecula, CA 92591, and has already expanded into several states across the U.S., with ambitions to enter international markets. Its menu is broad, featuring everything from traditional milk teas and fruit teas to smoothies, shakes, slush drinks, and hand-crafted rolled ice creams.
One of ThirsTea’s strengths lies in its high level of customization. Guests can adjust sugar levels, choose from a variety of toppings, and select milk alternatives, making the beverages suitable for different tastes and dietary needs. The franchise highlights quality by using fresh teas, natural fruit flavors, and organic milk options.
Initial Investment
How much does it cost to start a Thirstea franchise? It costs on average between 178,000 – $256,000 to start a Thirstea franchised restaurant.
This covers expenses such as construction, equipment, inventory, and early operating costs. The total investment varies based on factors like store format, location, and whether the franchisee decides to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $35,000 |
| Travel/Living Expenses While Training | $2,500 – $4,000 |
| Furniture and Fixtures | $10,000 – $20,000 |
| Signage | $3,000 – $6,000 |
| Equipment | $35,000 – $45,000 |
| Business Management and Technology System | $3,700 |
| Three Month’s Rent | $2,500 – $13,500 |
| Opening Inventory and Supplies | $15,000 – $20,000 |
| Utility Deposits | $1,500 – $2,500 |
| Business Licenses | $1,000 – $1,500 |
| Professional Fees | $3,500 – $7,500 |
| Leasehold Improvements | $35,000 – $55,000 |
| Insurance | $400 – $3,000 |
| Grand Opening Marketing | $5,000 |
| Additional Funds (3 Months) | $25,000 – $35,000 |
| TOTAL | $177,600 – $256,200 |
Average Revenue (AUV)
How much revenue can you make with a Thirstea franchise? A Thirstea franchised location makes on average $439,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
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Frequently Asked Questions
How many Thirstea locations are there?
As of the latest available data, ThirsTea operates a total of 10 locations, all of which are franchise-owned. The brand does not currently have any company-owned units.
What is the total investment required to open a Thirstea franchise?
The total investment required to open a Thirstea franchise ranges from $178,000 to $256,000.
What are the ongoing fees for a Thirstea franchise?
ThirsTea franchisees are required to pay an ongoing royalty fee of 5 percent of gross sales. In addition, they must contribute a marketing or advertising fee ranging from 1 to 3 percent of gross sales, depending on the territory and specific agreement.
What are the financial requirements to become a Thirstea franchisee?
A prospective ThirsTea franchisee must demonstrate a net worth of at least $200,000, and must also have $75,000 in liquid capital available to qualify for franchise ownership.
How much can a Thirstea franchise owner expect to earn?
The average gross sales for a Thirstea franchise are approximately $0.44 million per location. Assuming a 15% operating profit margin, $0.44 million yearly revenue can result in $66,000 EBITDA annually.
Who owns Thirstea?
ThirsTea franchise is owned by its co-founders, Sonny Paul and Keerthy Sunder.
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