Franchising a Milk Tea Shop in the Philippines: Tips for Young Entrepreneurs

  • Research reputable franchise companies before considering franchising, such as Baa Baa Thai Tea Bubble Tea.
  • Choose a location that has high foot traffic, convenience, low competition, and reasonable rent costs.
  • Secure sufficient funding and create a clear budget for the venture. You will also need to invest in marketing.
  • Choose the right suppliers for your ingredients, and make sure they provide quality raw materials at reasonable prices.
  • Hire the right people and invest in training programs to ensure that everyone understands the company culture.

Milk tea shops have been popping up all over the Philippines in recent years. Unsurprisingly, Filipinos love to drink milk tea to beat the heat or satisfy their sweet cravings. If you’re looking to start your own milk tea business, franchising is a great option, as it can provide you with the necessary tools for success.

However, before you take the plunge into franchising, knowing the best practices that have worked for other young entrepreneurs is essential. Here are tips for young entrepreneurs looking to franchise a milk tea shop in the Philippines.

Choose a reputable franchise company.

Before considering franchising, research different companies and determine which has a proven track record of success. Review each company’s reputation, franchise fees, training programs, and operational support. A good example of a reputable franchise company is the Baa Baa Thai Tea chain of milk tea shops, which is popular in the Philippines.

Baa Baa Thai Tea Bubble Tea is known to be one of the best-tasting milk teas in the country, as it’s made from quality ingredients. Their franchise package includes a complete training program, assistance with store setup and operations, as well as ongoing support. This is in contrast to other franchisors who may not provide sufficient support or access to resources.

Ensure the location is promising.

When franchising a milk tea shop, remember that location is vital. And when it comes to choosing a spot for your franchise, there are several things you need to consider, including the following four factors:

Foot traffic.

Mall area

The foot traffic in the area will indicate how much business you can expect to generate. If the site is bustling with people, your store should do well. You can find the best times to open your store based on peak foot traffic.


Make sure that your shop is located where it’s easy and convenient for customers to access. This could mean having a store near public transportation or in an affluent neighborhood with plenty of parking spaces.


Ensure there isn’t too much competition in the area, as this could negatively affect your business. If similar businesses are nearby, try to differentiate yourself by introducing unique flavors or offering special deals that other shops don’t have.

Rent costs.

Last but not least, you need to make sure that the rent for the location is something you can afford. This will allow you to maximize your profits and invest in other aspects of the business.

By considering these four factors when selecting a location for your franchise, you will increase your chances of success.

Secure funding and budget correctly.

Franchising a milk tea shop can cost a significant amount of money. In addition to the initial franchise fee, you will also need funds for the rental space, equipment and inventory, and marketing. Ensure you have a clear budget before starting your venture and ample funding to cover costs before proceeding to the franchise.

Choose the right suppliers.


If the milk tea brand you chose to franchise doesn’t provide its own supplies, you will need to seek out a separate supplier. As a milk tea shop, the quality of your products is crucial. Choose suppliers that can provide quality raw materials, including tea leaves, powders, and syrups. Conduct research and review supplier contracts to make sure costs are reasonable, and payments run smoothly.

Delegate and manage your team well.

Managing a milk tea shop is a team effort. Hiring the right people is a crucial factor in achieving your goals. Choose employees that have experience in customer service and possess qualities that align with the company culture. It is essential to invest in training programs to ensure the team understands the company philosophy and provides quality service to customers.

Starting a milk tea franchise in the Philippines doesn’t have to be daunting. By following these tips, young entrepreneurs can ensure their venture is set up for success. From choosing a reputable franchise company and securing funding to selecting the right location and suppliers and managing your team correctly, you’ll be off to a great start with your own milk tea shop in no time! With careful planning and dedication, you may soon be running one of the most popular franchises in town.

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