Gong Cha Accelerates Texas Growth With 50-Location Development Deal
Gong Cha is taking a major step toward building greater market share in Texas through a new 50-store franchise development agreement.
Houston-based Bakers Acres & Cattle Company will lead the expansion, bringing new Gong Cha locations to four major metropolitan areas: Houston, Austin, Dallas and San Antonio.
The seven-year agreement represents the largest direct development commitment Gong Cha has secured from a franchise operator and demonstrates the brand’s increasing focus on experienced multi-unit partners.
BACC is led by co-founder, president and managing member Brett Walker, whose family already operates a growing portfolio of Nothing Bundt Cakes franchises.
The group officially entered the Gong Cha system on July 1 by purchasing four existing stores in Austin and San Antonio. That acquisition gave the organization immediate operating experience with the brand before it committed to another 50 locations.
BACC Uses Multi-Unit Experience to Enter a New Category
Diversification has become an important part of BACC’s growth strategy.
Brett and Wendi Walker created the company in 2015, building a business that now includes franchise restaurants, real estate holdings, agriculture and cattle operations.
Several members of the next generation are involved as well. Two of the Walkers’ children and three of their children-in-law participate in the family business.
On the franchise side, BACC has primarily focused on Nothing Bundt Cakes.
The group holds development rights for 12 bakery locations in Greater Houston. Six are currently open, with nine expected to be operating by the end of the year.
But adding another franchise brand was not a decision the group made quickly.
Before selecting Gong Cha, BACC considered more than 120 concepts and attended 10 franchise discovery days.
Its objective was to find a business that could complement the existing portfolio while competing for leadership within a different consumer category.
Gong Cha ultimately gained the group’s attention through a combination of brand recognition, leadership, operational systems and technology.
Why Gong Cha Is Investing in Multi-Unit Franchise Growth
The Texas deal fits into a wider transformation underway within Gong Cha’s U.S. franchise network.
Founded in Taiwan in 2006, Gong Cha began franchising three years later and has developed into a global bubble tea company with thousands of stores.
The menu extends beyond traditional milk tea and includes milk foam drinks, tea lattes, slushes, specialty beverages and coffee.
That product variety gives operators several ways to attract customers while remaining focused on the beverage category.
In the United States, the company is approaching 240 locations in 25 states and Washington, D.C.
At the same time, Gong Cha has been restructuring how it manages franchise development.
The company gained direct control of its California franchise rights in 2025 and subsequently acquired master franchise rights for 175 stores across 13 additional states.
Greater direct control gives the company an opportunity to standardize development, strengthen franchise support and build relationships with larger operators capable of opening multiple stores.
BACC fits that profile.
Its established management infrastructure and previous franchise experience reduce some of the challenges associated with building a large new territory from the ground up.
Operational Efficiency Becomes a Growth Priority
Rapid franchise development requires more than signing new agreements. Brands also need systems that make it easier to operate stores consistently as unit counts rise.
Gong Cha has been increasing its U.S. capabilities in operations, marketing, franchise sales, training, finance and supply chain.
One of the company’s biggest operational initiatives is a new store platform called Gong Cha 2.0.
The format combines digital ordering kiosks with Super Wu, Gong Cha’s proprietary beverage automation technology.
Super Wu automates portions of the drink-making process. Employees then finish the order with toppings and other additions before serving the customer.
For a business where speed, labor efficiency and product consistency can directly affect unit economics, automation could become an important part of future development.
Walker has observed that the new system can reduce the preparation time for certain beverages from around two to three minutes to approximately 40 seconds.
BACC intends to retrofit its four acquired Gong Cha locations with the Gong Cha 2.0 format and Super Wu technology.
Its new Texas stores are also expected to open using the updated model.
Scaling the Franchise Support Platform
Behind the technology investment is a broader effort to create infrastructure capable of supporting larger franchise organizations.
As operators move from one or two stores to portfolios of 10, 20 or more units, franchise systems must provide consistent training, supply chain support, marketing resources and operational guidance.
Gong Cha Americas President Geoff Henry has identified experienced multi-unit operators as an important part of the company’s U.S. growth strategy.
The BACC agreement illustrates that direction.
Instead of relying only on individual single-store deals, Gong Cha can potentially enter major markets faster by partnering with organizations that already understand development, hiring, management and multi-unit operations.
Gong Cha Franchise Costs and Financial Requirements
Entrepreneurs evaluating the Gong Cha franchise opportunity can expect an estimated initial investment ranging from approximately $177,430 to $335,400.
The initial franchise fee is $41,500, while the continuing royalty is 5.5% of gross sales.
Financial qualification requirements depend heavily on the development arrangement.
Candidates may need approximately $150,000 to $2 million in liquid assets and a net worth between roughly $300,000 and $4 million.
The higher end of those ranges is generally more relevant to operators pursuing larger multi-unit development opportunities.
New Franchisees Receive Two Weeks of Training
Gong Cha provides approximately 14 days of pre-opening training in New York for the franchisee and a designated store manager.
The training program introduces operators to areas such as store management, staffing, marketing, financial controls and daily operations.
Once a location opens, franchisees continue receiving operational and training support.
Previous restaurant experience is useful but is not necessarily a requirement for every franchise candidate.
The system is designed to give qualified owners the processes and education required to operate according to Gong Cha’s standards.
Financing may also be available to qualified candidates through lenders participating in SBA-related franchise lending programs.
Franchisees can additionally build local awareness through community fundraising initiatives involving schools, nonprofit groups and other organizations.
Gong Cha Looks Beyond Traditional Retail Development
Physical storefronts will remain a major part of Gong Cha’s expansion strategy, but future growth may not be limited to traditional shopping center locations.
The company is considering additional airport development as well as drive-thru formats.
Both could help Gong Cha expand into locations where convenience and speed play a larger role in consumer purchasing decisions.
The exploration of new formats comes as Gong Cha Global prepares for a change in ownership.
Bain Capital has announced an agreement to acquire the company from TA Associates. Financial terms have not been made public, and completion of the deal is expected in the fourth quarter.
The new investment is expected to support continued global expansion, with the U.S. remaining one of the company’s priority markets.
BACC Plans Aggressive Texas Store Openings
Houston will be one of the first markets to benefit from the new development agreement.
BACC expects to open its first new Gong Cha stores there this year and is targeting approximately seven to 10 openings during its first two years of development.
From there, the group intends to build additional locations throughout Austin, Dallas, Houston and San Antonio during the remainder of the seven-year agreement.
The opportunity for Gong Cha is larger than simply adding 50 stores.
Opening clusters of locations in major metropolitan areas can increase brand visibility, improve marketing efficiency and make it easier for consumers to recognize Gong Cha as a leading option for bubble tea.
For BACC, the agreement provides another platform for long-term multi-unit growth.
For Gong Cha, it provides an experienced operating partner capable of turning a large development commitment into meaningful market penetration across Texas.
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