Gong cha Signs Deal to Develop 50 Texas Locations

Mike’s Red Tacos and BODYBAR Pilates Also Growing

Bakers Acres & Cattle Co. has signed an agreement to develop 50 Gong cha bubble tea franchises in Texas. Led by Brett and Wendi Walker, BACC is a Houston-based, multi-generational family business known for scaling franchise brands such as Nothing Bundt Cakes. BACC will bring Gong cha locations to Dallas, Houston, San Antonio and Austin over the next seven years.

“With its premium positioning, operational sophistication and strong consumer loyalty, Gong cha immediately stood out as the right brand to grow with across Texas,” Brett Walker stated in a Franchising.com article. He praised Gong cha’s systems, infrastructure and branding, and said he foresees “tremendous long-term potential” for the franchise.

Gong cha also made news early this month when it was purchased by Bain Capital, a private equity firm. Gong cha has some 2,200 units worldwide; 200-plus are in the United States. 

In an Aug. 5 post, RestaurantDive.com said the deal will close in the fourth quarter of this year. The online magazine noted that Bain’s previous restaurant investments include Fogo de Chão in 2023 and California Pizza Kitchen in 2025.

Franchise Growth

Taco and Pilates brands report healthy growth this year.

Veteran restaurant operators Brian Cassidy and Sam Wong of CW Strong Restaurant Group have signed a 22-unit franchise agreement with Mike’s Red Tacos. Their units will be in Austin, Texas, and the greater San Francisco Bay area. The franchisees already operate 127 Carl’s Jr. restaurants and 20 Dave’s Hot Chicken locations. 

BODYBAR Pilates has signed deals for 40 new territories and welcomed 17 new franchise owners during the first half of this year. It now has 89 open studios and 70 in development in more than two dozen states.

Legal Support Hotline for Hotel Franchisees 

G6 Hospitality, the parent of Motel 6 and Studio 6 brands, has started a legal support hotline in partnership with the Texas Hotel & Lodging Association for G6 franchisees across Texas. The hotline will help franchisees navigate legal matters, including compliance with local, state and federal laws; workplace and guest safety protocols; and liability issues. 

Three THLA attorneys will provide on-the-spot legal guidance from 8 a.m. to 5 p.m. Central Time on weekdays. Callers will also be able to leave messages on the hotline 24/7 so the lawyers can assist them when business hours resume.

No Sale for Papa Johns 

Rumors of a Papa Johns sale have proved premature. Instead, the company has opted to pursue a turnaround by investing $35 million in technology, franchisee support and marketing, QSR Magazine reported. To cover the cost, Papa Johns is suspending its quarterly dividend beginning this month, QSR said. 

QSR quoted CEO Todd Penegor as saying: “While our financial performance isn’t where we’d like it to be, we have a clear understanding of how to improve our results and gain market share.” He also acknowledged that the transformation is going slower than expected. The company expects global system-wide sales to decline between 2% and 4% this year.  

Private Equity Backs Church’s Chicken

Golub Capital has taken an ownership stake in Church’s Texas Chicken, Inside Retail reported. The money will support restaurant remodeling, new openings and other growth initiatives of the fast-food brand.

From year-end 2021 through the first quarter of 2026, Church’s posted around 19% same-store sales growth domestically, with domestic system-wide traffic increasing more than 6%, according to Inside Retail. The chain was acquired by High Bluff Capital Partners and Future Standard in 2021.

This transaction marks the second time since 2024 that Golub has provided financing to Church’s. The 74-year-old brand has more than 1,500 restaurants in U.S. and international markets. 

Clean Your Dirty Face Acquisition

Gorgeous Collective, a multi-brand beauty and wellness franchise platform anchored by the IMAGE Studios franchise, on Aug 5 announced its acquisition of the Clean Your Dirty Face facials franchise. Entrepreneur magazine ranked the brand as the No. 1 skin care franchise for 2026.

Gorgeous Collective said the skin care franchise will continue to operate under its current brand and leadership team. Founded in 2015, Clean Your Dirty Face has 33 locations and is known for affordable 30-minute facials and an esthetician-formulated product line.

Franchises Give Back

Let’s hear it for these examples of franchising generosity:

• Pet Valu, a Canadian franchise of 700-plus stores selling pet food and supplies, raised about $2.6 million in monetary and product donations for roughly 500 causes across Canada. During June, which is Pet Valu’s annual Pet Appreciation Month, customers contributed money and products to support stores’ designated rescue organization or cause.
• Usama El-Sehrawey and the late Ernest Smily, multi-unit Wendy’s owners in Massachusetts, paid community college tuition for shift manager Thalles Winner DeSouza. The franchisees funded the scholarship for DeSouza, an immigrant from Brazil, after he said he would need to switch to higher-paid construction work to cover his education expenses, The New York Post and NBC News reported. Yale recently accepted DeSouza as a transfer student. 
• Planet Fitness franchise groups have raised more than $72,000 in support of St. Jude Children’s Research Hospital in Memphis, Tenn. The nonprofit organization focuses on treating cancer and other life-threatening diseases; it never bills patients’ families for treatment, travel, housing or food.