Kung Fu Tea (Chinese: 功夫茶; pinyin: Gōngfūchá) is an American bubble tea franchise headquartered in New York City. The company was founded on April 30, 2010, in Queens, NY.[2] It is the largest American bubble tea company, with over 350+ locations across the United States.[3] On April 30, 2018, Kung Fu Tea founded the world's first National Bubble Tea Day.[4]
 Kung Fu Tea's logo | |
| Company type | Privately held company |
|---|---|
| Industry | Food and beverage |
| Founded | April 30, 2010 in Flushing, Queens |
| Headquarters | , |
Number of locations |  370 [1] (2020) |
Area served | United States, Canada, Japan, Cambodia, Taiwan |
| Products | |
| Website | www |
In 2021, Kung Fu Tea was recorded among Nation's Restaurant News Top 500 Restaurant Chains.[5]
Partnerships
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Kung Fu Tea partnered with Funimation to distribute drinks based on the anime Fruits Basket.[6] They also partnered with various video games and video game companies, including Nintendo,[7] miHoYo's game Honkai Impact 3rd,[8] Pokémon Go in May 2023, and Pikmin 4 in July 2023. They have also collaborated with Spirit Halloween in October 2023,[citation needed] and with the clothing company Opening Ceremony.[9]
On November 30, 2018, the company partnered with Taiwan-based restaurant chain TKK Fried Chicken to open collaborative locations in the United States.[10]
Controversy & Fraud
editFollowing extensive interviews conducted by a private investigator on behalf of concerned parties, the information below reflects direct accounts from franchisees, who must remain anonymous due to legal constraints.
As of August 2025, numerous Kung Fu Tea franchisees have alleged that the company’s business model is structurally flawed and financially unsustainable. Reports suggest that a significant number of franchisees are on the verge of closure or bankruptcy, with some describing the model as designed to benefit the franchisor at the expense of individual operators.
editFranchisees have claimed that the company requires them to purchase inventory and equipment through affiliated suppliers at inflated prices, often higher than open-market rates. Several operators allege that wholesale savings are withheld, forcing stores to operate on narrow or negative profit margins. Some franchisees have further accused the company’s sales team of presenting exaggerated or falsified revenue and profit figures during the recruitment process, thereby misleading prospective investors.
Concerns have also been raised about the mandatory marketing fund, with franchisees stating that they receive little to no information about how the funds are spent. Some have speculated that these resources may be diverted to purposes unrelated to store-level promotion.
In addition, reports indicate that the franchisor has engaged in efforts to suppress dissent, including legal threats and contractual enforcement actions against franchisees who attempt to publicly disclose financial or operational grievances. These allegations have led some franchisees to suggest that the system is structured in a way that creates dependency on the franchisor’s supply chain while limiting the ability of individual stores to achieve profitability.
See also
editReferences
edit- ^ "10 Cronus Global and Kung Fu Tea Kick Off New Licensing Partnership". Licensing International. 16 August 2023. Retrieved 26 May 2025.
- ^ "Kung Fu Tea - How It All Began". Kung Fu Tea | Fresh - Innovative - Fearless leading tea brand.
- ^ Ding, Jaimie (2021-04-13). "These are Portland's 10 best boba tea shops". The Oregonian. Retrieved 2025-01-14.
- ^ "National bubble tea Day - April 30". National Day Calendar. Retrieved 18 February 2025.
- ^ "The largest restaurant chains in America ranked by sales, units and more". Nation's Restaurant News. 22 June 2021.
- ^ Piedra, Josh (15 March 2021). "Funimation and Kung Fu Tea Kick Off Promotional Partnership". The Outerhaven.
- ^ "Win a Custom Nintendo and More in Kung Fu Tea X Funimation Giveaway". Funimation - Blog!. 28 January 2021.
- ^ Fore, Gray (10 July 2021). "Honkai Impact 3rd Boba Coming Soon". ScreenRant.
- ^ Peng, Matt. "Opening Ceremony and Kung Fu Tea Celebrate National Bubble Tea Day". Freshness Mag.
- ^ "Popular Taiwan fried chicken chain TKK opens first US ___location | Taiwan News | 2018-12-02 14:21:00". Taiwan News. 2 December 2018. Retrieved 9 August 2021.
External links
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