Ben & Jerry’s Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Ben & Jerry's is an ice-cream franchise operating scoop shops serving its premium ice cream, sorbet, and frozen desserts. Franchisees run shops managing scooping, cakes, inventory, and counter service.
FranchiseVerdict summary · 2026
A Ben & Jerry’s franchise requires a total initial investment of $280K – $631K, including a $20K – $40K franchise fee and an ongoing 3.0% royalty[2]. Per the 2026 FDD, average unit revenue was $665K[2]. SBA 7(a) loans show a 0.0% charge-off rate across 20 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $280K – $631K
- 32nd pct Retail
- Avg gross sales
- $665K
- 6th pct Retail
- Royalty
- 3.0%
- 2nd pct Retail
- Units
- 154
- 32nd pct Retail
- SBA charge-off
- 0.0%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Retail · color = vs category peers
Green = favorable by >10% vs Retail avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $280K – $631K including a $40K franchise fee, 3.0% ongoing royalty.
- RETURNSAverage unit revenue of $665K/year (median $584K).
- RISKVerdict A (Strongest tier), verdict score 69/100 (higher is better). SBA loan charge-off rate of 0.0% across 20 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Ben & Jerry's Franchising, Inc.
- Parent company
- Ben & Jerry's Homemade, Inc.
- Ultimate parent
- The Magnum Ice Cream Company N.V. (TMICC)
- Predecessor
- Ben & Jerry's Homemade, Inc. (Homemade)
- Prior franchisor entity
- CEO title
- Chief Executive Officer
- Jochanan Senf
- Incorporated in
- Vermont
- HQ
- 35 Thompson Street, South Burlington, Vermont 05403-6828
- Auditor
- KPMG LLP
- Audited financials
- Franchisor revenue
- $2.5M
- vs $12.7M prior year
Overview
About
- CEO
- Jochanan Senf
- Headquarters
- Vermont
- Founded
- 1978
- FDD year
- 2026
- States available
- 28
Can you afford it, and what does the money buy?
Entry cost runs 10% above the typical retail franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown45 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Preliminary Agreement Deposit (Full-Sized Shop) | $5K | $10K | |
| Initial Franchise Fee (Full-Sized Shop - Satellite Addendum) | $8K | $8K | |
| Initial Franchise Fee (Full-Sized Shop - Franchise Agreement) | $20K | $40K | |
| Plans, Development & Permits (Full-Sized Shop) | $4K | $12K | |
| Leasehold Improvements & Construction (Full-Sized Shop) | $85K | $230K | |
| Furniture, Fixtures, Equipment, Casework, and Smallwares (Full-Sized Shop) | $65K | $135K | |
| Signage (Full-Sized Shop) | $5K | $18K | |
| Professional Fees (Full-Sized Shop) | $3K | $6K | |
| POS (Full-Sized Shop) | $2K | $2K | |
| Online Ordering System Hardware (Full-Sized Shop) | $1K | $2K | |
| Internet Connectivity and Telephone (Full-Sized Shop) | $1K | $2K | |
| Deposits (Full-Sized Shop) | $3K | $8K | |
| Initial Training (Full-Sized Shop) | $1K | $3K | |
| Inventory (Full-Sized Shop) | $8K | $14K | |
| Insurance (Full-Sized Shop) | $500 | $3K | |
| Grand Opening Advertising (Full-Sized Shop) | $3K | $3K | |
| Additional Funds - 3 months (Full-Sized Shop) | $50K | $75K | |
| Preliminary Agreement Deposit (In-Line Shop) | $5K | $10K | |
| Initial Franchise Fee (In-Line Shop - Satellite Addendum) | $8K | $8K | |
| Initial Franchise Fee (In-Line Shop - Franchise Agreement) | $20K | $40K | |
| Total initial investment | $611K | $1.2M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $280K – $631K
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $75K
- Top 40% of category vs category
- Franchise fee
- $20K – $40K
- Top 40% of category vs category
- Royalty
- 3.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 5.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 3.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $4K |
| Training fee | $2K |
| Transfer fee | $7K |
| Renewal fee | $12K |
| Inventory (initial) | $6K – $14K |
| Total fee load | 5.0% of rev |
A 5.0% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
What do units actually make?
Average unit sales run 31% below the retail norm.
Source: FDD 2026 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$66K
10.0% margin
Unlevered ROIC
13%
EBITDA / total invested capital
Payback
7.8 yrs
cash-on-cash, unlevered
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one Ben & Jerry’s unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
13%
Below the 30–60% attractive-franchise band
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 Ben & Jerry’s units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$399K
on $2.0M purchase
Total debt
$1.6M
SBA $1.0M + senior + seller note
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
- Avg gross sales
- $665K
- Per unit, per year
- Median gross sales
- $584K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Historical Gross Sales performance chart (by customer-profile segment: Community/Quick Fix/Tourist)
- Sample size
- 126
- vs category median 47 · large
- Range (low → high)
- $155K→$2.4M
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 4 / 10
- vs category median 3 / 10 · above
Compared against 278 Retail brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $665K/year in gross sales. Revenue-to-investment ratio: 1.5x.
Fee burden
Total ongoing fee load of 5.0% — below the Retail average of 8.9%.
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System roughly stable (+4.0% 3-year CAGR) with 154 units.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Retail averages
How Ben & Jerry’s Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 154
- Opened
- 10
- Last reporting year
- Closed
- 7
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 2.6%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 99%
- vs corporate-owned
- Net growth (3-yr)
- +4.0%
- Net unit change over 3 years
- 3-yr CAGR
- +4.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 8
- Closed (3yr)
- 4
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 5
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 7
- Franchisor's next-year forecast
- Ceased ops
- 43.8%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 28 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Available to sell in · Item 12
- Hawaii
- Michigan
- Minnesota
- South Dakota
- Wisconsin
States where the franchisor is registered to sell new franchises (FDD registration filings).
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 20
- Loan volume
- $6.3M
- Median loan
- $351K
- 50th percentile
- Charge-off rate
- 0.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 12
- Defaults
- 0
- Typical loan rate
- 7.6%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 7225
- Jobs supported
- 319
- 5.1 per loan
- Lender concentration
- 25%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Top lenders financing Ben & Jerry’s franchisees
Showing 3 of 12 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
With a 0.0% charge-off rate across 20 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.0% — 100% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Ben & Jerry's presents moderate-to-elevated risk due to stagnant unit growth, undisclosed profitability metrics, active corporate governance litigation, and high capital requirements relative to disclosed revenue.
Litigation (Item 3)
Item 3 discloses 8 distinct cases: (1) Class I Directors of Ben & Jerry's board (on behalf of Ben & Jerry's Homemade) v. Conopco/Unilever PLC/Ben & Jerry's Holdco/TMICC - breach of 2000 Acquisition Agreement and settlement agreement, pending; (2) Dana Hughes v. Homemade - CA Trap and Trace Law/TikTok tracking claim, pending; (3) Center for Environmental Health v. Aesop USA et al. (incl. Homemade) - CA Prop 65 BPS thermal paper claim, pending; (4) Mittal v. Unilever/TMICC/Senf - defamation/false light by former board chair, pending; (5) Dovid Tyrnauer v. Homemade - class action re: alleged migrant child labor supply chain, dismissed 2024; (6) Ido Ben-Ami v. Homemade (Israel) - anti-discrimination class action re: Israel/disputed territories, settled 2022 for $25,000 combined with Spiegelman case; (7) Rebecca Spiegelman v. Homemade (Israel) - same subject, settled jointly; (8) Avi Avraham Zinger/American Quality Products v. Homemade/Unilever US/Conopco - license termination dispute, settled 2022 via new business arrangement.
Largest disclosed settlement: $25,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · KPMG LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 69 / 100 verdict
- 01MINORStagnant unit growth (2.0% YoY) suggests mature/declining system despite brand strength
- 02MINORNo Item 19 (net income) disclosure limits ability to verify $664K revenue translates to viable profit
- 03HIGHActive litigation between independent board and Unilever creates governance uncertainty and potential strategic misalignment
- 04MINORMultiple settlements/disputes over social responsibility (Israel/West Bank, supply chain) create reputational risk and potential operational constraints
- 05HIGHFalse going concern status unclear but warrants immediate clarification on financial health
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 5.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 5 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Arbitration location | South Burlington, Vermont (judicial district where franchisor has principal place of business) |
| Jury trial waiver | Yes |
| Governing law | Vermont |
| Litigation count | 8 |
View Item 3 litigation summary
Item 3 discloses 8 distinct cases: (1) Class I Directors of Ben & Jerry's board (on behalf of Ben & Jerry's Homemade) v. Conopco/Unilever PLC/Ben & Jerry's Holdco/TMICC - breach of 2000 Acquisition Agreement and settlement agreement, pending; (2) Dana Hughes v. Homemade - CA Trap and Trace Law/TikTok tracking claim, pending; (3) Center for Environmental Health v. Aesop USA et al. (incl. Homemade) - CA Prop 65 BPS thermal paper claim, pending; (4) Mittal v. Unilever/TMICC/Senf - defamation/false light by former board chair, pending; (5) Dovid Tyrnauer v. Homemade - class action re: alleged migrant child labor supply chain, dismissed 2024; (6) Ido Ben-Ami v. Homemade (Israel) - anti-discrimination class action re: Israel/disputed territories, settled 2022 for $25,000 combined with Spiegelman case; (7) Rebecca Spiegelman v. Homemade (Israel) - same subject, settled jointly; (8) Avi Avraham Zinger/American Quality Products v. Homemade/Unilever US/Conopco - license termination dispute, settled 2022 via new business arrangement.
Items 10, 11
Training & Operations
- Classroom training
- 19 hrs
- On-the-job training
- 4 hrs
- Training location
- Scoop University, South Burlington, Vermont (corporate headquarters); may be conducted virtually in certain circumstances
- Ongoing training
- Required
- Field support
- 40 hrs/yr
- On-site visits per year
- Site selection
- franchisor (authorizes/denies proposed sites; provides limited site selection assistance under Development Agreement)
- Franchisor financing
- Not offered
- Item 10
- POS system
- Square-based POS System (Dashboard/Square Priority Support Services)
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Square-based POS System (Dashboard/Square Priority Support Services)
Item 20 · call current owners
Franchisee Contacts
139 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Ben & Jerry’s · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Ben & Jerry’s franchise?
The total investment to open a Ben & Jerry’s franchise ranges from $280K – $631K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Ben & Jerry’s franchise owners earn?
According to Item 19 of the Ben & Jerry’s FDD, the average gross sales per unit is $665K. The median is $584K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Ben & Jerry’s FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Ben & Jerry’s FDD and qualifies whose outlets they describe.
What is Ben & Jerry’s's franchise failure rate?
Based on SBA 7(a) loan data, Ben & Jerry’s has a charge-off rate of 0.0% across 20 loans, meaning 0.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Ben & Jerry’s franchise locations are there?
As of their most recent FDD filing, Ben & Jerry’s has 154 total units in the United States, including 152 franchised units and 2 company-owned units. 10 new units were opened in the latest reporting year.
Is Ben & Jerry’s a good franchise to buy?
FranchiseVerdict rates Ben & Jerry’s as a A-grade franchise with a verdict score of 69 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.