From the filings

HQ-led decisions

NAP TEA

Retail food

Software purchasing decisions at NAP TEA are controlled at the headquarters level by Chief Executive Officer and Managing Director Cheng Han Lin. The franchise currently mandates a Point-of-Sale (POS) System, though the specific vendor is not named in the 2025 FDD. The addressable market is extremely limited, with only 1 mapped operator across approximately 1 located unit.

For software vendors selling into US franchise brands.

Live signals

Total units
0
0 franchised
Unit growth YoY
vs prior filing
AUV
Item 19, 2025
Royalty
4%
of gross sales
Ad fund
national + local
Initial fee
$300K
per unit
Investment range
$624K–$777K
all-in, Item 7
Procurement
Franchisor controlled
from the filing
Non-compete
1 years
from the filing
Item 19
No claims
from the filing

Ongoing fee load

What the operator pays every month

The recurring percentage of gross sales named in this filing. It is a floor, not a total — the filing discloses one of the two headline fees.

4%+of gross sales (FY2025)

Ongoing fees: 4% of gross sales (FY2025)Royalty 4%. Total 4% of gross sales, from the fees this filing discloses. Drawn against a 15% reference scale.

15% reference

Royalty 4%

Mandated & recommended tech

The systems vendors compete with

Systems named in Item 11 of this filing. None is recorded as mandated here, which is not the same as the filing mandating nothing. Read Item 11 before treating the category as open.

YouTubeGoogle
MarketingItem 18

ITEM 18: PUBLIC FIGURES We currently use the name, likeness, and endorsement of Du, Guan-Ling 38 (https://www.youtube.com/@crowndu) (the “Endorser”) to promote the Nap Tea franchise system. The Endors

Franchisor behaviours

What the franchisor requires

20 requirements the franchisor states in this filing, each in its own words; 6 explicit no's; 8 questions the text does not settle, which is not a no.

Accounting

Must the franchisee use an accounting or bookkeeping system designated or approved by the franchisor?

Yes

Item 11

You are required to purchase and maintain a Point-of-Sale (“POS”) System approved by us, at an estimated initial cost of $2,000 to $3,000.

Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?

Yes

Franchise agreement

Franchisor shall have unrestricted rights to monitor, audit, and review POS data and sales turnover from each Store.

How the franchisor buys

Is the franchisor or an affiliate itself a supplier of required products, services or systems?

Yes

Item 8

You must purchase all proprietary teas, syrups, fruit jams, toppings, and other raw materials used to produce Nap Tea products from us, our parent company, or another supplier that we designate.

Does the franchisor reserve the right to change designated suppliers or systems at any time?

Yes

Item 17

We may revise the Manual, 14.2 issue supplemental directives, or update specifications and standards to reflect changes in the system, operational requirements, or legal compliance obligations.

Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?

Yes

Item 8

Nap Tea-Taiwan, however, derives a substantial portion of its revenue from the sale of proprietary raw materials, branded items, and other required supplies purchased by Nap Tea franchisees worldwide.

Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?

21

Item 8

During ongoing operations, these required purchases typically account for 21% to 26% of a franchisee’s average monthly operating expenses.

Can a franchisee propose a new supplier for the franchisor's approval?

Yes

Item 8

If you wish to purchase products from a non-designated supplier, you must submit a written request to us and provide samples or documentation sufficient to establish conformity with our standards.

Communications

Does the franchisor own or control the business telephone numbers, or take them over when the agreement ends?

Yes

Item 17

You must also transfer or forward the telephone number(s) previously used in connection with your franchised business as directed by us

Franchise management

Does the franchisor conduct periodic inspections, audits or evaluations of the franchised business?

Yes

Franchise agreement

Franchisor shall have the unrestricted right to dispatch its personnel or agents to any Store or ancillary facility within the Subfranchise Area at any time during business hours, with or without notice.

Can the franchisor change the operations manual and brand standards unilaterally?

Yes

Item 11

We may revise the Manual periodically, and you must comply with all modifications.

Must the franchisor approve the franchisee's site or location before opening?

Yes

Item 11

While we do not typically pre-select sites, we must consent to your proposed location before it may be established as a Nap Tea Master Franchise Outlet.

Operations

Must the franchisee buy products from a designated distributor?

Yes

Item 8

You must purchase all proprietary teas, syrups, fruit jams, toppings, and other raw materials used to produce Nap Tea products from us, our parent company, or another supplier that we designate.

Must equipment be purchased from designated or approved suppliers?

Yes

Item 8

You and your Subfranchisees must purchase and use only those fixtures, equipment, food preparation and storage devices, display cases, cash registers, computer systems, supplies, storefront designs, and signage that we have approved in writing.

People

Does the franchisor require minimum staffing levels or specific roles?

Yes

Item 15

Because the Manager must devote full-time efforts during normal business hours and, if you are an entity, must be a Principal Equity Owner holding at least fifty percent (50%) of the ownership interests

Must employees wear uniforms specified by the franchisor?

Yes

Item 8

You must also purchase uniforms, branded packaging (such as cups and

Point of sale

Must the franchisee use a specific point-of-sale system designated or approved by the franchisor?

Yes

Item 11

You are required to purchase and maintain a Point-of-Sale (“POS”) System approved by us, at an estimated initial cost of $2,000 to $3,000.

Does the franchisor have independent access to the data in the franchisee's POS or computer system?

Yes

Franchise agreement

Franchisor shall have unrestricted electronic access to the POS system and its data.

Sales and CRM

Must the franchisee use a CRM system designated or approved by the franchisor?

Yes

Item 11

You are required to purchase and maintain a Point-of-Sale (“POS”) System approved by us, at an estimated initial cost of $2,000 to $3,000.

Training

Can the franchisor charge the franchisee for additional, refresher or remedial training?

Yes

Franchise agreement

We may require you, your designated Manager, or your staff to attend refresher courses, seminars, conventions, or training conferences that we conduct during the term of this Agreement.

Is attendance at an annual convention or conference mandatory for the franchisee?

Yes

Item 11

Attendance by at least one Principal Equity Owner at each such conference or convention will be mandatory, and we strongly recommend that other Principal Equity Owners attend.

The filing answers no to 6 questions
  • Is there a franchisee advisory council, association or committee?Item 20
  • Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?Item 13
  • Is a minimum grand opening advertising spend required?Item 11
  • Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?Item 11
  • Must the franchisee participate in a regional advertising cooperative when one exists?Item 11
  • Must the franchisee use a payment processor or merchant-services provider designated or approved by the franchisor?Item 7

The vendor opportunity at NAP TEA

NAP TEA is a retail food franchise headquartered in Delaware. For software vendors, the immediate opportunity is exceptionally small. The operator footprint consists of just 1 mapped operator across approximately 1 located unit, with a top state presence in Wisconsin. This is not a multi-unit landscape; the data shows zero operators in the 2-9, 10-24, or 25+ unit bands. Total units, franchised versus company-owned counts, and year-over-year unit growth are not disclosed in the most recent FDD. The royalty rate is 4.0%, and the initial franchise term is 5 years. Average unit volume (AUV) is also not disclosed. Vendors should approach this as a single-location account with a centralized purchasing model.

Who controls software purchasing

All software purchasing authority appears to rest with a single individual. The only executive listed in the FDD is Cheng Han Lin, who serves as Chief Executive Officer and Managing Director. There is no CIO, CTO, or VP of Operations on file. For a vendor, this means the sales cycle is direct and singular: you are pitching one person who holds both strategic and operational control. The franchise is independently owned, with no parent company on file, so there is no larger enterprise hierarchy to navigate. This concentration of decision-making can shorten the sales cycle but also means there is no secondary champion to influence the process.

Mandated and current tech stack

The 2025 FDD mandates a Point-of-Sale (POS) System for franchisees. The document references this requirement twice, underscoring its importance to operations. However, the specific vendor or system name is not disclosed. This creates a clear opening for POS vendors to inquire about the current solution and potentially offer an alternative. Beyond the POS mandate, no other operational, accounting, inventory, or HR systems are mentioned as required or recommended. The technology landscape appears lean, which is consistent with a very small franchise system. A vendor selling complementary tools—such as scheduling, loyalty, or reporting software that integrates with a POS—should be prepared to discover the incumbent during the discovery call.

Procurement, renewals, and timing

The procurement model is a blank slate based on available data. No extract from Item 8 of the FDD was provided, meaning it is unknown whether NAP TEA uses designated suppliers, maintains an approved vendor list, or allows franchisees to purchase from any source. This lack of a formal procurement signal suggests a less structured buying process, which can be an advantage for vendors who can articulate clear value directly to the CEO.

The renewal cycle offers a potential timing trigger. The initial franchise agreement runs for 5 years. A franchisee may renew for one additional 5-year term by providing written notice at least 90 days before the current term expires. Renewal is contingent on being in good standing and executing the then-current form of the agreement, which may contain updated terms. For a vendor, the period leading up to a renewal could be an opportunity to introduce new technology that helps a franchisee meet updated operational standards or improve unit economics before re-committing.

How to read the NAP TEA FDD

The 2025 Franchise Disclosure Document is the definitive source for understanding NAP TEA's legal, financial, and operational structure. Key items for software vendors include Item 11 (the franchisor's obligations) for the mandated POS requirement, Item 8 (restrictions on sources of products and services) for procurement rules, and Item 17 (renewal, termination, transfer) for contract cycle timing. The embedded viewer below contains the full filing. For a ranked target list of franchise systems that match your ideal customer profile, talk to FranCloud.

Questions vendors ask

NAP TEA, answered from the filing

The sole decision-maker on file is Cheng Han Lin, the Chief Executive Officer and Managing Director. As the only named executive, he is the primary point of contact for any software vendor pitch.
The 2025 FDD mandates a Point-of-Sale (POS) System. The document does not name the specific vendor or system, only that a POS is required for franchisees.
The operator footprint shows 1 mapped operator across approximately 1 located unit. Total units, franchised, and company-owned counts are not disclosed in the FDD.
The procurement model is not disclosed. The FDD provided no extract from Item 8, so it is unknown whether the franchisor uses designated suppliers, an approved supplier list, or an open procurement model.
With an initial term of 5 years and a single 5-year renewal option, contract windows are infrequent. A franchisee must provide 90 days' written notice before expiration to renew, which may be a trigger for tech evaluation.
The 2025 FDD was filed with state franchise regulators. You can review the full document using the embedded PDF viewer below to analyze the complete legal and operational disclosures.
Source

Read the filing itself

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NAP TEA2025 FDDView only

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The brands you can actually sell into, from the filings.

Operator footprint

Who runs the locations

1 operators run 1 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.

Operators by units owned

Single-unit1

Top states by locations

WI1

Related Retail food brands

Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.