About Cupbop Franchise
Cupbop is a fast casual franchise specializing in Korean style barbecue rice cups, potstickers, and other authentic Korean food and beverage items.
The brand serves its signature dishes in a convenient cup format, making Korean barbecue accessible and portable for a wide range of customers.
The franchise fee is $40,000, and the company has been franchising since 2017 under Cupbop Co.
Cupbop Franchise Cost & Fees
Minimum Investment
$284K
Average Investment
$459K
Maximum Investment
$634K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 6% of monthly Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 4.5% of monthly Gross Sales, currently 3% | National brand fund |
| Total Investment Range | $283,500 – $634,200 | Includes build-out, inventory, working capital |
The investment range of $284K–$634K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of monthly Gross Sales) and marketing fee (Up to 4.5% of monthly Gross Sales, currently 3%) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Training Expenses while Attending Initial Training | $1,000 | $5,000 |
| Real Estate/Rent – 3 months | $9,000 | $35,000 |
| Leasehold Improvements, Furniture, Fixtures and Equipment | $180,000 | $475,000 |
| Grand Opening Advertising | $10,000 | $10,000 |
| Opening Inventory/Supplies | $13,000 | $15,000 |
| Point of Sale System | $2,500 | $5,000 |
| Office Equipment and Supplies | $3,000 | $5,000 |
| Signage | $10,000 | $16,000 |
| Utility Deposits and Payments | $1,500 | $6,500 |
| Business Licenses and Permits for city, state and regulatory agencies | $500 | $1,500 |
| Insurance – 3 months | $2,400 | $3,600 |
| Dues and Subscriptions | $300 | $800 |
| Professional Fees | $300 | $800 |
| Additional Funds – 3 Months | $10,000 | $15,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | $10,000 |
| Technology Fee | Cost of Service |
| Audit Fee | Costs incurred related to the inspection or audit |
| Cooperative Advertising Program | Up to 2% of Gross Sales |
| Additional, new, or repeat Initial Training Attendees | Our then-current initial training fee, up to $4,000. Currently $1,500 (or $2,000 for an expelled trainee re-attending) |
| Additional Training or Assistance | Our then-current applicable daily rate, up to $800 per person per day. Currently $400 per person per day for services we provide at our training location and $600 per person per day plus expenses for training at your Restaurant. |
| Product and Service Purchases | Cost for products and services actually ordered by you for use at your Restaurant. |
| Testing | Costs of Testing (amount of which depends on circumstances, including supplier's location, testing required, and item involved) |
| Relocation | Our then-current relocation fee, currently $10,000 |
| Annual Franchisee Meeting | Our then-current fee for attendance at the annual meeting, up to $2,500 |
| Regional Advisory Council | Council Assessments |
| Interest | Lesser of 18% per annum or the highest amount allowed by law, whichever is less |
| Non-Compliance | $500 per occurrence and an additional $500 per day in which the deviation continues |
| Unauthorized Advertising Fee | $1,000 per occurrence |
| Late Fee | 10% of the past due amount |
| Management Fee | $500 per person per day plus our direct out-of-pocket costs and expenses |
| Indemnification | Based upon the claims and circumstances |
| Liquidated Damages | Varies depending on the length of time remaining in the term of your Franchise Agreement at the time of termination. |
| Customer Complaint Reimbursement | Out-of-pocket cost reimbursement |
| Insurance Reimbursement | Out-of-pocket cost reimbursement |
| Tax Reimbursement | Out-of-pocket cost reimbursement |
| De-identification | Out-of-pocket cost reimbursement for the amounts we spend to de-identify your Restaurant |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 14-day program |
| Classroom Training | 20.5 |
| On-the-Job Training | 95 |
| Training Location | Our Office in Draper, Utah and/or Cupbop store locations |
| Additional Training | We may require you to replace any General Manager or manager who we believe is not qualified or suitable to hold that position, or you may replace any General Manager. You must pay for any replacement to complete the initial training program within 90 days of the departure of the previous General Manager. In addition to our then-current training fee, you must pay all travel and living expenses for such attendees. We may require you, your Managing Owner, any General Manager and/or other previously trained and experienced managers and other employees to attend and complete to our satisfaction any training courses we periodically choose to provide at the times and locations we designate. We may charge reasonable registration or similar fees for these courses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | The size and scope of the protected territory will vary based on the characteristics of the authorized location, including the population density around the location. |
| Description | Storefront Restaurants are granted a protected territory around their authorized location. We will not during the term of the Franchise Agreement establish or operate, nor will we license or franchise to another the right to establish or operate a Restaurant in your protected area. Storefront Restaurants are allowed to provide catering services in the protected territory as well as any immediately adjacent area, approved in advance in writing by us, that is not a part of another franchisee’s protected territory and provided that the services can reasonably be provided from the Storefront Restaurant. Your protected territory does not give you any rights to customers within the protected territory, including with respect to orders placed online for delivery. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years from the date that your Cupbop® Restaurant opens for business. |
| Renewal Term | 10 years from expiration of prior term. |
| Renewal Fee | $10,000 |
| Renewal Conditions | You must provide timely notice; maintain possession of your premises; remodel according to our current standards; pay a successor franchise fee; and sign a new agreement that may be materially different from your current franchise agreement. |
| Transfer Fee | $10,000 |
| Transfer Conditions | You must be in full compliance under the Franchise Agreement; provide us the terms of the transfer in writing; pay us the transfer fee; and execute (along with all your owners) a release to us and our affiliates. The transferee must assume all your obligations; sign our then-current franchise agreement; pay for, attend and complete all required training; and sign a document acknowledging receipt of the FDD. |
| Termination for Cause | We may terminate the Franchise Agreement for cause if you breach the agreement. Curable defaults: You have 3 days to cure health, safety, or sanitation law violations; 10 days to cure monetary defaults and failure to maintain the required insurance; 30 days to cure monetary defaults to certain third parties; operational and other defaults that are curable; and 90 days to relocate to a new site if you lose possession of the premises. Noncurable defaults: Failure to secure and have approved the site within 12 months after the effective date; failure to open within 16 months of the effective date; opening before you receive our written approval; failure to complete training; abandonment; unapproved transfers; material misrepresentations or omissions; conviction of a felony; dishonest or unethical conduct; unauthorized use or disclosure of the manuals or confidential information, failure to pay taxes; understating Gross Sales; violating employee recruiting and hiring restrictions; repeated defaults; bankruptcy; appointment for the benefit of creditors; appointment of a trustee or receiver; and violation of anti-terrorism law. |
| Non-Compete Period | 2 years |
| Non-Compete Details | You may not have direct or indirect ownership in or perform services for a competitive business for 2 years at the premises or within 20 miles of any other Cupbop® Restaurant; whether existing, operating, or under construction as of the date the Franchise Agreement expires or is terminated. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Pursuant to the Franchise Agreement, you, if you are an individual, or, if you are an entity, a Managing Owner and/or General Manager approved by us must personally supervise and participate in the franchised business. In addition, each such individual is required to complete the training program. Each location of the business must be directly supervised “on-premises” by you, your Managing Owner or a General Manager who has successfully completed our training program and has been approved by us. |
| Required Suppliers | You are required to purchase our proprietary, specially-formulated and produced sauces and marinades (which are used in numerous of our menu items that you will be required to offer), proteins, and branded paper products (including bowls and cups) from Cupbop Co. Other food and non-food products branded and/or packaged exclusively for use in Cupbop® Restaurants must be purchased from us, our affiliates or approved third party suppliers. |
| Supply Restrictions | We reserve the right to require that you purchase from us, our affiliates or other third party approved suppliers other food and beverage products not prepared using our proprietary products or not branded or packaged exclusively for us as well as all required furniture, fixtures, and equipment, including our computer and point-of-sale system. We have the right to limit the suppliers with whom you deal. |
| Franchisor Revenue from Suppliers | Our total revenue for the year ended December 31, 2022 was $1,407,785. We did not have any revenue from the sale of products to our franchisees for the year ended December 31, 2022. For the year ended December 31, 2022, our affiliate, Cupbop Co. had revenue of $21,885 from the sale of products to our franchisees. |
Cupbop Franchise Earnings — Item 19
Average Revenue
$815K
Median Revenue
$823K
Revenue Range
$417K – $1.3M
Sample Size
9 units
Past financial performance does not guarantee future results. Individual results will vary.
Cupbop Litigation & Risk Flags
Clean Litigation RecordCupbop has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Cupbop System Growth
Total Units
44
Franchised
19
Company-Owned
25
Cupbop currently operates 19 franchised locations and 25 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 5 | 0 | 17 |
| 2021 | 12 | 0 | 29 |
| 2022 | 15 | 0 | 44 |
Transfers: 0 | Closures: 0
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$1.4M
Net Income
$873K
Total Assets
$743K
Audited by FORVIS, LLP for year ending December 31.
Cupbop Franchise — FAQ
The total investment to open a Cupbop franchise ranges from $283,500 to $634,200, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Cupbop charges a royalty fee of 6% of monthly Gross Sales of gross sales, plus a Up to 4.5% of monthly Gross Sales, currently 3% contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Cupbop Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Cupbop to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Cupbop franchise owners report average revenue of $815K and median revenue of $823K. This is based on a sample of 9 units. Past performance does not guarantee future results.
Cupbop has been franchising since 2017. The FDD shows an investment range of $283,500-$634,200, a 6% of monthly Gross Sales royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $283,500 to $634,200 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
Similar Food & Beverage Franchises
Interested in Cupbop?
Get free info on this franchise. We will send you a detailed FDD report by email.
Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Cupbop and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Cupbop or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com