Sharetea Franchise Review 2025: Ratings & Verdict

Product details

Contents

Key facts


The Verdict

Quick Verdict · who it fits

Sharetea fits owner-operators looking for a mid-scale food & beverage concept.

✓ Strengths

⚠ Risks to review

Key FDD Facts

The numbers a buyer needs first — straight from the filing.

Initial investment (Item 7)

$225K - $555K

Franchise fee (Item 5)

$12K

Royalty (Item 6)

6% + 3% ad

System size (Item 20)

153 +10

Agreement term

5 yrs

Years in business

11+ yrs

Item 3 litigation

None disclosed

Model Sharetea's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.

Buyer qualifications

•No exclusive territory•Owner-operator required✓No bankruptcy disclosed✓No Item 3 litigation

Data extracted from the 2025 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.

What you'd pay the franchisor

Drag to your projected annual sales. Royalty 6% + ad fund 3% on gross sales.

PROJECTED ANNUAL SALES$500,000

$100k$2M

Royalty (6%)

Ad fund (3%)

Total / year

▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration

Executive Summary

Free AI summary — the first read on the filing.

Key Numbers

153

Total units open

10

Units opened last year

15

Units closed last year

-6

Net unit growth

decline from 159 units at end of 2023 to 153 units at end of 2024

AI Due Diligence Findings PREMIUM

What our analysis flagged across the 2025 filing.

5

Risks to review

4

Strengths identified

5

Questions to ask

Industry Benchmarks

How Sharetea ranks against 749 Food & Beverage peers we've analyzed.

Initial investment

28th pct · of 749 peers

Franchise fee

4th pct · of 749 peers

System size

80th pct · of 749 peers

Food & Beverage industry averages

Avg investment

$589K - $1.4M

Avg franchise fee

$37K

Avg system size

261

Franchises analyzed

749

How Sharetea stacks up

Closest concepts by category and investment.

Brand Item 19 Fee Investment Royalty Units
Sharetea None $12K $225K - $555K 6% 153
Pizza GuysSimilar price Disclosed $25K $253K - $554K 5% 94
Doctor's AssociatesBiggest system None $15K $227K - $630K 8% 18,773
Vintage Hospitality GroupTop-rated in category Disclosed $50K $3.5M - $6.4M 5.5% 33

Compare side-by-side ↗

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Frequently Asked Questions

How much does a Sharetea franchise cost?

Sharetea requires a $12,000 initial franchise fee and a total initial investment range of $224,600–$555,400, per the most recent FDD on file.

Who owns Sharetea?

Sharetea is franchised by Lilian USA LLC, the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the franchisor's corporate history, parents, and predecessors.

Does Sharetea disclose financial performance (Item 19)?

No. Sharetea does not include a financial performance representation in its FDD. Prospective buyers should rely on validation calls with existing franchisees and benchmark against industry medians.

What ongoing fees does Sharetea charge?

Franchisees pay a royalty of 6% and an advertising fund contribution of 3% on gross sales as defined in Item 6 of the FDD.

How many Sharetea locations are there?

As of their 2025 FDD, Sharetea has 153 total locations, with 10 new locations opened in the most recent reporting year. This information comes from Item 20 of the FDD.

Does Sharetea grant exclusive territory?

No. Sharetea does not grant exclusive territory rights under Item 12. The franchisor retains the right to operate or grant additional units inside or adjacent to your trade area.

What are the renewal and exit terms?

Per the FDD, Sharetea discloses an initial agreement term of 5 years. Review Items 10 and 17 for the full renewal and termination provisions.

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