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FinanceGong cha signs 50-store franchise agreement in Texas with BACC
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Bubble tea chain Gong cha has signed an exclusive area development agreement with franchise operator Bakers Acres & Cattle Company (BACC) to open 50 stores in Texas over the next seven years. The deal, described as the largest direct franchising agreement in Gong cha's history, will target key markets including Austin, Houston, San Antonio, and Dallas. This follows Gong cha's acquisition of master franchise rights for 170 US locations across 13 states, including Texas, positioning the brand for faster nationwide growth. BACC, a Houston-based multi-generational family business, entered franchising in 2015 with Nothing Bundt Cakes and has since built a successful bakery operation. Gong cha Americas president Geoff Henry highlighted strong interest from multi-unit operators due to the brand's operational simplicity, consumer demand, and scalable low-cost model.
Source report
By: Umesh Ellipichuram | 2 min read
Bubble tea chain Gong cha has signed an exclusive area development agreement for 50 stores in Texas, USA, with franchise operator Bakers Acres & Cattle Company (BACC).
Under the agreement, BACC will develop the chain's presence over the next seven years in four key markets: Austin, Houston, San Antonio, and Dallas.
The deal is described as the "largest direct franchising deal" in Gong cha's history and extends the brand's reach in the United States.
It follows the company's acquisition of master franchise rights for 170 US locations across 13 states, including Texas — a move the company says positions it for faster franchise roll-out and long-term nationwide growth.
About BACC
Based in Houston, BACC is a multi-generational family business with experience in growing franchise brands. The company entered franchising in 2015 with bakery concept Nothing Bundt Cakes. The operator has since built a bakery operation across Greater Houston and is working towards creating a 12-bakery platform, reporting performance that exceeds systemwide averages.
Gong Cha's US Expansion Strategy
Gong cha began its direct franchising strategy in the US around two years ago and has been accelerating growth through multi-unit development agreements in both established and emerging regions. During this period, the brand has signed expansion deals in:
- Arizona
- California
- Massachusetts
- Puerto Rico
- Texas
- Wisconsin
- Other markets
Executive Commentary
Gong cha Americas President Geoff Henry said:
"As Gong cha continues expanding across the US, we're seeing strong interest from multi-unit operators looking to grow with the global leader. Franchisees are looking for concepts with operational simplicity, strong consumer demand and the ability to scale efficiently at relatively low cost, and Gong cha delivers on all of these. From our flexible footprint and efficient labor model to the strength of our global brand recognition, we've built a platform designed to help operators grow strategically and sustainably across high-potential markets like Texas."
This article was originally created and published by Verdict Food Service, a GlobalData owned brand.
Source
Yahoo FinanceWestern
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Gong cha signs 50-store franchise agreement in Texas with BACC